Lamb Weston Holdings Inc (LW)
Payables turnover
| May 31, 2025 | May 31, 2024 | May 26, 2024 | May 31, 2023 | May 28, 2023 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 5,052,700 | 4,700,900 | 5,403,700 | 3,918,500 | 4,476,500 |
| Payables | US$ in thousands | 616,400 | 833,800 | 833,800 | 636,600 | 636,600 |
| Payables turnover | 8.20 | 5.64 | 6.48 | 6.16 | 7.03 |
May 31, 2025 calculation
Payables turnover = Cost of revenue ÷ Payables
= $5,052,700K ÷ $616,400K
= 8.20
The payables turnover ratio for Lamb Weston Holdings Inc across the provided periods exhibits notable fluctuations. As of May 28, 2023, the ratio was 7.03, indicating a relatively high efficiency in settling its accounts payable relative to its cost of goods sold or purchases during that period. By the following date, May 31, 2023, the ratio decreased to 6.16, suggesting a slight slowdown in payment efficiency or increased accounts payable relative to purchases.
Looking ahead to May 26, 2024, the ratio increased to 6.48, reflecting a modest improvement in payment performance compared to the previous period, though it remained below the May 28, 2023 level. However, by May 31, 2024, the ratio continued to decline to 5.64, indicating an even slower turnover of payables during this timeframe.
Finally, on May 31, 2025, the payables turnover ratio rose sharply to 8.20, surpassing all prior recorded ratios. This significant increase suggests a notable acceleration in settling payables, which could be attributed to improved cash flow management, changes in credit terms, or strategic payment practices.
Overall, the data reflects variability in payables management over the analyzed periods, with the most recent figure indicating a potentially more efficient approach to settling short-term liabilities compared to earlier periods.
Peer comparison
May 31, 2025