Leslies Inc (LESL)
Payables turnover
| Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | ||
|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 1,383,170 | 1,354,140 | 1,160,380 |
| Payables | US$ in thousands | 58,556 | 156,456 | 100,960 |
| Payables turnover | 23.62 | 8.66 | 11.49 |
September 30, 2023 calculation
Payables turnover = Cost of revenue ÷ Payables
= $1,383,170K ÷ $58,556K
= 23.62
The payables turnover ratio for Leslies Inc has shown significant improvement over the past three years. In 2023, the payables turnover ratio stands at 23.62, a substantial increase from 8.66 in 2022 and 11.49 in 2021. This suggests that the company is becoming more efficient in managing its accounts payable, as it is now paying off its suppliers much more frequently compared to previous years. A higher payables turnover ratio indicates that the company is able to settle its obligations to suppliers more quickly, potentially improving relationships with suppliers and enhancing its working capital management. Leslies Inc's increasing payables turnover ratio reflects positively on its liquidity and financial health.
Peer comparison
Sep 30, 2023