Lindsay Corporation (LNN)
Payables turnover
| Aug 31, 2024 | May 31, 2024 | Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | Nov 30, 2022 | Aug 31, 2022 | May 31, 2022 | Feb 28, 2022 | Nov 30, 2021 | Aug 31, 2021 | May 31, 2021 | Feb 28, 2021 | Nov 30, 2020 | Aug 31, 2020 | May 31, 2020 | Feb 29, 2020 | Nov 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 416,019 | 421,335 | 439,965 | 449,383 | 461,069 | 479,533 | 520,780 | 565,990 | 571,565 | 558,567 | 523,868 | 469,078 | 417,441 | 380,398 | 345,928 | 323,907 | 322,149 | 309,509 | 317,154 | 321,480 |
| Payables | US$ in thousands | 37,417 | 35,062 | 47,903 | 52,242 | 44,278 | 42,207 | 52,998 | 58,535 | 60,036 | 72,350 | 74,345 | 58,908 | 45,209 | 49,351 | 39,934 | 36,263 | 29,554 | 35,310 | 33,307 | 30,097 |
| Payables turnover | 11.12 | 12.02 | 9.18 | 8.60 | 10.41 | 11.36 | 9.83 | 9.67 | 9.52 | 7.72 | 7.05 | 7.96 | 9.23 | 7.71 | 8.66 | 8.93 | 10.90 | 8.77 | 9.52 | 10.68 |
August 31, 2024 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $416,019K ÷ $37,417K
= 11.12
The payables turnover ratio for Lindsay Corporation has fluctuated over the past few years. The ratio measures how efficiently the company is managing its accounts payable by calculating how many times a company pays off its average accounts payable balance during a specific period.
In the most recent period, ending August 31, 2024, the payables turnover ratio stood at 11.12 times. This indicates that on average, the company paid off its accounts payable balance roughly 11 times during the year. This represents an improvement compared to the previous period, where the ratio was 12.02, indicating a slight decrease in the frequency of paying off accounts payable.
Looking at the trend over several periods, the payables turnover ratio has generally been on an upward trajectory, with some fluctuations. This suggests that the company has been managing its accounts payable more efficiently over time. However, there have been some periods where the ratio decreased, indicating a potential slowdown in the company's ability to pay off its accounts payable.
Overall, analyzing the payables turnover ratio provides insight into how effectively Lindsay Corporation is managing its supplier payments and liquidity. A higher ratio typically indicates better efficiency in managing payables, while a lower ratio may suggest potential issues with cash flow management or supplier relationships.
Peer comparison
Aug 31, 2024