Keysight Technologies Inc (KEYS)
Payables turnover
| Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | Apr 30, 2020 | Jan 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 3,470,000 | 3,378,000 | 3,367,000 | 3,343,000 | 3,341,000 | 3,428,000 | 3,441,000 | 3,437,000 | 3,377,000 | 3,275,000 | 3,223,000 | 3,221,000 | 3,255,000 | 3,285,000 | 3,216,000 | 3,061,000 | 2,991,000 | 2,969,000 | 3,025,000 | 3,139,000 |
| Payables | US$ in thousands | 313,000 | 280,000 | 268,000 | 281,000 | 286,000 | 289,000 | 302,000 | 325,000 | 348,000 | 328,000 | 313,000 | 294,000 | 287,000 | 249,000 | 248,000 | 228,000 | 224,000 | 193,000 | 182,000 | 224,000 |
| Payables turnover | 11.09 | 12.06 | 12.56 | 11.90 | 11.68 | 11.86 | 11.39 | 10.58 | 9.70 | 9.98 | 10.30 | 10.96 | 11.34 | 13.19 | 12.97 | 13.43 | 13.35 | 15.38 | 16.62 | 14.01 |
October 31, 2024 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $3,470,000K ÷ $313,000K
= 11.09
Payables turnover is a ratio that measures how efficiently a company pays its suppliers. It is calculated by dividing the total purchases made on credit by the average accounts payable for a period. A higher payables turnover indicates that the company is paying its suppliers quickly, which may indicate strong liquidity or good relationships with suppliers.
Analyzing the payables turnover of Keysight Technologies Inc over the past few quarters, we can observe fluctuations in the ratio. The payables turnover has ranged from 9.70 to 16.62 over the last few years, with the highest turnover recorded in the 2020 fiscal year and a slight decrease in recent periods.
The highest payables turnover in the 2020 fiscal year could indicate that Keysight Technologies Inc was efficiently managing its payables and paying off its suppliers promptly. However, the ratio has since decreased, suggesting a potential change in the company's payment practices, possibly indicating a slower pace of paying off suppliers.
Overall, the payables turnover of Keysight Technologies Inc has shown variability over time, which may warrant further investigation into the company's vendor management strategies and liquidity position. Additionally, comparing the payables turnover with industry peers and historical trends can provide further insights into the company's financial performance and efficiency in managing its accounts payable.
Peer comparison
Oct 31, 2024