Madison Square Garden Sports Corp (MSGS)
Payables turnover
| Jun 30, 2025 | Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 758,336 | 616,514 | 548,811 | 500,564 | 281,890 |
| Payables | US$ in thousands | 14,143 | 9,900 | 9,093 | 11,263 | 2,226 |
| Payables turnover | 53.62 | 62.27 | 60.36 | 44.44 | 126.64 |
June 30, 2025 calculation
Payables turnover = Cost of revenue ÷ Payables
= $758,336K ÷ $14,143K
= 53.62
The payables turnover ratio of Madison Square Garden Sports Corp over the analyzed period exhibits notable fluctuations that reflect changes in the company's payment practices with its suppliers. As of June 30, 2021, the ratio was notably high at 126.64, indicating that the company settled its accounts payable approximately 127 times during the fiscal year, suggestive of rapid payment cycles or significant cash flow strength at that time.
By June 30, 2022, this ratio declined sharply to 44.44, representing a substantial reduction in the frequency of payments relative to the period’s average payable balance. This decrease implies that the company may have extended its payment terms, delayed settling its liabilities, or experienced changes in supplier credit policies. The ratio saw a modest increase to 60.36 by June 30, 2023, hinting at a partial normalization or adjustment in payment routines.
In subsequent years, the ratio maintained a relatively stable level around the low sixties, with 62.27 recorded on June 30, 2024, and slightly declining to 53.62 by June 30, 2025. These figures reflect a stabilization in the company's payables management, signaling a balanced approach to managing liabilities without prolonged delays or overly aggressive payment cycles.
Overall, the trend demonstrates a significant initial decline from 2021 through 2022, followed by stabilization in the more recent years. These movements may be associated with strategic shifts in vendor negotiations, liquidity management, or operational adjustments in response to macroeconomic factors or internal financial strategies.
Peer comparison
Jun 30, 2025