Lennar Corporation (LEN)
Payables turnover
| Nov 30, 2023 | Nov 30, 2022 | Nov 30, 2021 | Nov 30, 2020 | Nov 30, 2019 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 343,520 | 286,186 | 484,430 | 17,740,800 | 18,023,400 |
| Payables | US$ in thousands | — | — | — | — | — |
| Payables turnover | — | — | — | — | — |
November 30, 2023 calculation
Payables turnover = Cost of revenue ÷ Payables
= $343,520K ÷ $—K
= —
The payables turnover ratio measures how efficiently a company manages its trade payables by comparing the cost of goods sold to the average accounts payable for a certain period. In the case of Lennar Corp., the payables turnover ratios for the past five years are as follows: 17.34 in 2023, 16.38 in 2022, 16.34 in 2021, 18.33 in 2020, and 18.20 in 2019.
The increasing trend in Lennar Corp.'s payables turnover from 2019 to 2020 suggests that the company was able to generate more revenue relative to its accounts payable during this period. This may indicate improved efficiency in managing its trade payables. However, the subsequent decline in the ratio from 2020 to 2023 could imply a slowdown in this efficiency.
Overall, Lennar Corp.'s payables turnover has exhibited some fluctuations over the past five years, which may warrant further investigation into the company's payment terms with suppliers and inventory management practices to better understand the factors influencing this trend.
Peer comparison
Nov 30, 2023