Leidos Holdings Inc (LDOS)

Payables turnover

		Dec 31, 2024	Sep 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
Cost of revenue (ttm)	US$ in thousands	13,822,000	13,484,000	13,327,000	13,194,000	12,985,000	12,746,000	12,534,000	12,312,000	12,119,000	11,966,000	11,857,000	11,723,000	11,501,000	11,333,000	10,914,000	10,560,000	10,326,000	10,002,000	9,819,000	9,546,000
Payables	US$ in thousands	705,000	—	—	736,000	—	—	—	733,000	—	—	—	692,000	—	—	—	731,000	—	—	—	592,000
Payables turnover		19.61	—	—	17.93	—	—	—	16.80	—	—	—	16.94	—	—	—	14.45	—	—	—	16.12

December 31, 2024 calculation

Payables turnover = Cost of revenue (ttm) ÷ Payables
= $13,822,000K ÷ $705,000K
= 19.61

Leidos Holdings Inc's payables turnover shows a consistent improvement over the years, reflecting efficient management of its accounts payable. The company's payables turnover ratio increased from 16.12 in December 2019 to 19.61 in December 2024. This indicates that Leidos Holdings Inc is paying off its suppliers more frequently within each period, which may suggest good relationships with vendors or effective cash flow management.

However, it should be noted that there are missing data points for the payables turnover ratio for certain quarters, particularly in 2020 and 2021. This lack of information could make it challenging to assess the trend accurately during those periods.

Overall, a rising payables turnover ratio is generally a positive sign as it indicates the company is efficiently managing its payables, potentially enhancing its liquidity position and relationship with suppliers.