KLA-Tencor Corporation (KLAC)
Payables turnover
| Jun 30, 2025 | Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 4,581,000 | 3,928,070 | 4,218,310 | 3,592,440 | 2,772,160 |
| Payables | US$ in thousands | 458,509 | 359,487 | 371,026 | 443,338 | 342,083 |
| Payables turnover | 9.99 | 10.93 | 11.37 | 8.10 | 8.10 |
June 30, 2025 calculation
Payables turnover = Cost of revenue ÷ Payables
= $4,581,000K ÷ $458,509K
= 9.99
The payables turnover ratio for KLA-Tencor Corporation demonstrates notable variations over the period under review. As of June 30, 2021, the ratio was 8.10, remaining unchanged through June 30, 2022, indicating a stable payment cycle during this timeframe. By June 30, 2023, the ratio increased significantly to 11.37, suggesting that the company was paying its suppliers more frequently within the period, thus reducing its days payable outstanding (DPO) and enhancing liquidity management.
Following this peak, the ratio experienced a slight decline to 10.93 by June 30, 2024, which could imply a marginal extension in the payment period or adjustments in supplier payment terms. As of June 30, 2025, the ratio further decreased to 9.99, approaching the earlier levels observed in 2021-2022.
Overall, the trend indicates that KLA-Tencor’s payables turnover increased notably in 2023, reflecting improved efficiency in settling payables or possibly an effort to accelerate payments, potentially influenced by operational or strategic factors. The subsequent decrease suggests a slight easing in payment frequency, though the ratio remained comparatively higher than the baseline levels at the beginning of the observed period.
Peer comparison
Jun 30, 2025