Stride Inc (LRN)

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	1,843,069	1,814,576	1,782,815	1,754,972	1,732,972	1,709,755	1,672,157	1,635,537	1,588,557	1,554,628	1,545,967	1,528,441	1,477,351	1,348,036	1,231,644	1,114,505	1,025,426	1,014,606	993,561	981,878
Payables	US$ in thousands	40,970	37,156	31,319	74,586	48,854	35,252	32,809	68,956	61,997	32,848	33,821	58,589	62,144	47,043	39,251	91,957	40,428	25,235	30,598	46,204
Payables turnover		44.99	48.84	56.92	23.53	35.47	48.50	50.97	23.72	25.62	47.33	45.71	26.09	23.77	28.66	31.38	12.12	25.36	40.21	32.47	21.25

June 30, 2024 calculation

Payables turnover = Cost of revenue (ttm) ÷ Payables
= $1,843,069K ÷ $40,970K
= 44.99

The payables turnover ratio for Stride Inc has shown fluctuations over the past few quarters. The ratio measures how efficiently the company is managing its accounts payable by comparing the purchases made on credit to the average accounts payable balance.

In the most recent quarter, the payables turnover ratio stood at 44.99, indicating that the company paid its suppliers approximately 44.99 times during the period. This represents an improvement compared to the previous quarter where the ratio was 48.84.

Looking at the trend over the past few quarters, there have been periods of both increase and decrease in the payables turnover ratio. The ratio hit a high of 56.92 in the fourth quarter of 2023 before declining in subsequent quarters. This could suggest changes in the company's payment terms with suppliers or variations in the level of purchases made on credit.

Overall, a high payables turnover ratio can indicate efficient management of payables, as the company is paying its suppliers quickly. Conversely, a low ratio may signal that the company is taking a longer time to pay its bills, which could potentially strain relationships with suppliers.

It is important for Stride Inc to monitor its payables turnover ratio consistently and analyze the factors impacting the ratio to ensure effective management of its accounts payable and maintain positive relationships with suppliers.