Keysight Technologies Inc (KEYS)
Payables turnover
| 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 | Oct 31, 2019 | Jul 31, 2019 | Apr 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 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 | 3,143,000 | 4,962,000 | 4,619,000 |
| Payables | US$ in thousands | 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 | 253,000 | 247,000 | 236,000 |
| Payables turnover | 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 | 12.42 | 20.09 | 19.57 |
January 31, 2024 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $3,343,000K ÷ $281,000K
= 11.90
The payables turnover ratio measures how efficiently a company is managing its accounts payable by showing how many times a company pays off its average accounts payable balance over a period.
Keysight Technologies Inc's payables turnover has been relatively stable over the past eight quarters, ranging from 5.66 to 6.91. This indicates that the company is able to quickly settle its accounts payable obligations, on average, between 5.66 to 6.91 times per year.
A high payables turnover ratio can suggest that the company is managing its payables efficiently, potentially taking advantage of early payment discounts or negotiating favorable terms with suppliers. On the other hand, a low payables turnover ratio may indicate that the company is taking longer to pay its bills, which could strain relationships with suppliers or result in missed discounts.
Overall, Keysight Technologies Inc's consistent payables turnover ratios suggest that the company has been effective in managing its accounts payable and maintaining good relationships with suppliers over the past two years.
Peer comparison
Jan 31, 2024