Kroger Company (KR)
Payables turnover
| Feb 3, 2024 | Nov 4, 2023 | Aug 12, 2023 | May 20, 2023 | Jan 28, 2023 | Nov 5, 2022 | Aug 13, 2022 | May 21, 2022 | Jan 29, 2022 | Nov 6, 2021 | Aug 14, 2021 | May 22, 2021 | Jan 30, 2021 | Nov 7, 2020 | May 23, 2020 | Feb 1, 2020 | Nov 9, 2019 | Aug 17, 2019 | May 25, 2019 | Feb 2, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 117,948,000 | 88,168,000 | 88,577,000 | 89,491,000 | 89,356,000 | 116,155,000 | 114,312,000 | 111,830,000 | 108,823,000 | 105,554,000 | 103,410,000 | 109,954,000 | 100,530,000 | 98,719,000 | 97,838,000 | 66,392,000 | 65,849,000 | 44,176,000 | 22,369,000 | 22,648,000 |
| Payables | US$ in thousands | 10,381,000 | 8,149,000 | 7,597,000 | 7,353,000 | 7,119,000 | — | — | — | 7,117,000 | — | — | — | 6,679,000 | — | — | — | — | — | — | — |
| Payables turnover | 11.36 | 10.82 | 11.66 | 12.17 | 12.55 | — | — | — | 15.29 | — | — | — | 15.05 | — | — | — | — | — | — | — |
February 3, 2024 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $117,948,000K ÷ $10,381,000K
= 11.36
The payables turnover ratio for Kroger Company has shown fluctuations over the periods for which data is available. The most recent payables turnover ratio of 11.36 (as of February 3, 2024) indicates that Kroger is taking approximately 11.36 days to pay its suppliers. This suggests that the company is managing its accounts payables efficiently, as a higher turnover ratio signifies a faster payment cycle.
The trend of the payables turnover ratio shows variability, with values ranging from 10.82 to 15.29 over the periods reported. While fluctuations in the ratio are normal for many businesses, it is important for Kroger to monitor this closely to ensure timely payments to suppliers without negatively impacting cash flow.
Analyzing the payables turnover ratio alongside other financial metrics can provide a more comprehensive view of Kroger's financial health and its management of working capital. Additionally, comparing the company's payables turnover ratio to industry benchmarks can help assess its performance relative to competitors in managing its payables effectively.
Peer comparison
Feb 3, 2024