Lancaster Colony Corporation (LANC)
Payables turnover
| Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 1,675,191 | 1,707,964 | 1,707,732 | 1,714,133 | 1,686,072 | 1,661,866 | 1,639,282 | 1,599,138 | 1,574,956 | 1,500,378 | 1,407,870 | 1,339,244 | 1,293,875 | 1,228,486 | 1,200,082 | 1,184,490 | 1,163,734 | 1,170,079 | 1,159,158 | 1,155,943 |
| Payables | US$ in thousands | 118,811 | 120,528 | 104,114 | 120,337 | 111,758 | 138,450 | 131,688 | 135,367 | 114,972 | 127,361 | 127,771 | 127,753 | 110,338 | 94,336 | 88,066 | 87,231 | 71,433 | 90,818 | 86,151 | 84,497 |
| Payables turnover | 14.10 | 14.17 | 16.40 | 14.24 | 15.09 | 12.00 | 12.45 | 11.81 | 13.70 | 11.78 | 11.02 | 10.48 | 11.73 | 13.02 | 13.63 | 13.58 | 16.29 | 12.88 | 13.45 | 13.68 |
June 30, 2024 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $1,675,191K ÷ $118,811K
= 14.10
The payables turnover ratio for Lancaster Colony Corporation has shown fluctuations over the past few quarters, ranging between 10.48 and 16.40. This ratio measures how efficiently the company is managing its accounts payable by indicating how many times a year the company pays off its suppliers.
A higher payables turnover ratio signifies that the company is paying off its suppliers more frequently, which can indicate strong liquidity and good supplier relationships. In contrast, a lower ratio may suggest that the company is taking longer to pay its suppliers, potentially straining supplier relationships or indicating liquidity issues.
Overall, Lancaster Colony Corporation's payables turnover ratio has been relatively healthy, with the recent ratios falling within the range of 11.02 to 16.40. This indicates that the company is managing its accounts payable efficiently, although closer monitoring may be warranted to ensure consistent and timely payments to suppliers.
Peer comparison
Jun 30, 2024