Motorola Solutions Inc (MSI)
Payables turnover
| 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 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 6,364,000 | 6,284,000 | 6,380,000 | 6,309,000 | 6,635,000 | 6,403,000 | 6,080,000 | 5,920,000 | 5,762,000 | 5,658,000 | 5,525,000 | 5,349,000 | 5,339,000 | 5,394,000 | 5,471,000 | 5,574,000 | 5,560,000 | 5,201,000 | 4,743,000 | 4,334,000 |
| Payables | US$ in thousands | 881,000 | 722,000 | 676,000 | 719,000 | 1,062,000 | 885,000 | 919,000 | 827,000 | 851,000 | 620,000 | 547,000 | 484,000 | 612,000 | 536,000 | 498,000 | 531,000 | 618,000 | 557,000 | 544,000 | 558,000 |
| Payables turnover | 7.22 | 8.70 | 9.44 | 8.77 | 6.25 | 7.24 | 6.62 | 7.16 | 6.77 | 9.13 | 10.10 | 11.05 | 8.72 | 10.06 | 10.99 | 10.50 | 9.00 | 9.34 | 8.72 | 7.77 |
December 31, 2023 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $6,364,000K ÷ $881,000K
= 7.22
The payables turnover ratio for Motorola Solutions Inc has shown a fluctuating trend over the past eight quarters. In Q2 2023 and Q1 2023, the company had the highest payables turnover ratios of 6.20 and 5.80, respectively, indicating that Motorola Solutions Inc is paying off its suppliers relatively faster during these periods. This may suggest efficient management of payables and strong supplier relationships.
Conversely, in Q4 2022, the company had the lowest payables turnover ratio of 4.05, indicating that the payables turnover was slower during that quarter. Despite the fluctuations, the payables turnover ratios for the company generally range between 4 and 6, indicating a moderate turnover of payables.
Overall, analyzing the payables turnover ratios of Motorola Solutions Inc provides insights into the company's efficiency in managing its accounts payable and its liquidity position. The trend in payables turnover ratios can indicate changes in the company's payment practices and its ability to effectively manage its working capital.
Peer comparison
Dec 31, 2023