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.