Keurig Dr Pepper Inc (KDP)
Payables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 12,143,000 | 12,315,000 | 10,502,000 | 9,835,000 | 9,405,000 |
| Payables | US$ in thousands | 3,597,000 | 5,206,000 | 4,316,000 | 3,740,000 | 3,176,000 |
| Payables turnover | 3.38 | 2.37 | 2.43 | 2.63 | 2.96 |
December 31, 2023 calculation
Payables turnover = Cost of revenue ÷ Payables
= $12,143,000K ÷ $3,597,000K
= 3.38
Keurig Dr Pepper Inc's payables turnover has fluctuated over the past five years. The ratio stood at 1.50 in 2019, indicating the company took approximately 1.50 times to pay off its accounts payable during that year. Subsequently, there was a decrease in 2020 and 2021 to 1.37 and 1.32, respectively.
However, there was a notable increase in 2022 to 1.29 before a significant jump to 1.87 in 2023. This suggests that in 2023, Keurig Dr Pepper Inc improved its efficiency in paying off its accounts payable compared to previous years.
Overall, although the payables turnover ratio has fluctuated, the recent increase in 2023 indicates an improvement in the company's ability to manage its accounts payable, potentially reflecting enhanced liquidity or more efficient cash management practices.
Peer comparison
Dec 31, 2023