Minerals Technologies Inc (MTX)
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 | 1,902,500 | 1,911,500 | 1,844,000 | 1,849,600 | 1,872,000 | 1,830,900 | 1,767,700 | 1,673,600 | 1,614,600 | 1,567,100 | 1,493,600 | 1,423,000 | 1,388,300 | 1,386,300 | 1,437,900 | 1,542,400 | 1,560,100 | 1,558,600 | 1,564,500 | 1,539,100 |
| Payables | US$ in thousands | 188,700 | 184,800 | 204,300 | 225,700 | 193,800 | 210,100 | 219,300 | 218,600 | 196,100 | 185,500 | 177,700 | 167,700 | 148,300 | 140,700 | 139,400 | 158,000 | 163,400 | 176,000 | 188,200 | 178,200 |
| Payables turnover | 10.08 | 10.34 | 9.03 | 8.19 | 9.66 | 8.71 | 8.06 | 7.66 | 8.23 | 8.45 | 8.41 | 8.49 | 9.36 | 9.85 | 10.31 | 9.76 | 9.55 | 8.86 | 8.31 | 8.64 |
December 31, 2023 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $1,902,500K ÷ $188,700K
= 10.08
Minerals Technologies, Inc.'s payables turnover ratio has been consistently fluctuating over the past eight quarters. The ratio has ranged from a low of 6.72 in Q1 2022 to a high of 9.06 in Q3 2023, indicating the number of times the company pays off its suppliers within a specific period.
The increasing trend from Q1 2023 to Q3 2023 suggests that the company has been managing its payables more efficiently during this period. This improvement may indicate better negotiation terms with suppliers, tighter cash management, or more effective inventory control.
However, the payables turnover ratio dipped in Q4 2023 compared to the previous quarter. This decrease may indicate a slowdown in paying off suppliers or a change in payment terms, which could potentially affect the company's relationships with its suppliers.
Overall, while a higher payables turnover ratio generally indicates efficient management of payables, it is essential to analyze the reasons behind the fluctuations in the ratio to gain more insights into Minerals Technologies, Inc.'s financial operations and supplier relationships.
Peer comparison
Dec 31, 2023