Lamb Weston Holdings Inc (LW)
Payables turnover
| May 31, 2025 | Feb 28, 2025 | Nov 30, 2024 | Aug 31, 2024 | May 31, 2024 | May 26, 2024 | Feb 29, 2024 | Feb 25, 2024 | Nov 30, 2023 | Nov 26, 2023 | Aug 31, 2023 | Aug 27, 2023 | May 31, 2023 | May 28, 2023 | Feb 28, 2023 | Feb 26, 2023 | Nov 30, 2022 | Nov 27, 2022 | Aug 31, 2022 | Aug 28, 2022 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 5,052,700 | 4,943,200 | 5,233,600 | 4,965,100 | 4,908,500 | 4,941,000 | 4,981,700 | 5,092,900 | 5,196,100 | 5,255,100 | 5,337,600 | 5,027,600 | 4,671,600 | 4,251,000 | 3,745,600 | 3,742,100 | 3,723,400 | 3,727,400 | 3,740,900 | 3,622,600 |
| Payables | US$ in thousands | 531,000 | 664,600 | 846,000 | 688,700 | 833,800 | 833,800 | 684,100 | 684,100 | 834,500 | 834,500 | 678,500 | 678,500 | 636,600 | 636,600 | 453,100 | 453,100 | 580,600 | 580,600 | 462,700 | 462,700 |
| Payables turnover | 9.52 | 7.44 | 6.19 | 7.21 | 5.89 | 5.93 | 7.28 | 7.44 | 6.23 | 6.30 | 7.87 | 7.41 | 7.34 | 6.68 | 8.27 | 8.26 | 6.41 | 6.42 | 8.08 | 7.83 |
May 31, 2025 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $5,052,700K ÷ $531,000K
= 9.52
The payables turnover ratio for Lamb Weston Holdings Inc. exhibits fluctuations across the observed periods, reflecting variations in the company's efficiency in settling its accounts payable obligations.
From late August 2022 through early May 2023, the ratio ranged predominantly between approximately 6.4 and 8.3. Notably, the highest turnover during this interval was recorded on February 28, 2023, at approximately 8.27, indicating a period of relatively prompt payment cycles. Conversely, the lowest recorded ratio in this timeframe was around 6.41 on November 30, 2022, suggesting a slight slowdown in payable settlements.
Post-May 2023, the ratio demonstrates a downward trend, reaching a low of approximately 5.89 on May 31, 2024, which signifies a lengthening in the average time taken to pay suppliers. During this interval, the ratios fluctuate between approximately 5.89 and 7.87, with the latest reading on November 30, 2024, at 6.19, indicating a continued prolonged payment cycle.
In the most recent data points for early 2025, the ratio rises to about 7.44 on February 28, 2025, and then increases further to 9.52 on May 31, 2025. This upward movement suggests an acceleration in the company's payable turnover, potentially reflecting shorter payment periods or improved cash management strategies.
Overall, the data demonstrates a pattern of variability in Lamb Weston Holdings Inc.'s payables turnover ratio, characterized by periods of both acceleration and deceleration. The observed decline from late 2022 to mid-2024 indicates an extension in the average payable duration, whereas the subsequent increase into early 2025 suggests a shift towards quicker settlement of liabilities. This fluctuation may be influenced by strategic changes in payment policies, supplier negotiations, or shifts in operational liquidity management.
Peer comparison
May 31, 2025