The Marzetti Company (MZTI)
Payables turnover
| Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 1,453,476 | 1,439,348 | 1,454,426 | 1,442,341 | 1,439,457 | 1,445,737 | 1,449,483 | 1,460,327 | 1,433,959 | 1,426,467 | 1,390,931 | 1,347,464 | 1,320,671 | 1,255,568 | 1,187,105 | 1,123,450 | 1,080,344 | 1,023,229 | 1,000,931 | 987,989 |
| Payables | US$ in thousands | 117,962 | 121,068 | 104,506 | 109,236 | 118,811 | 120,528 | 104,114 | 120,337 | 111,758 | 138,450 | 131,688 | 135,367 | 114,972 | 127,361 | 127,771 | 127,753 | 110,338 | 94,336 | 88,066 | 87,231 |
| Payables turnover | 12.32 | 11.89 | 13.92 | 13.20 | 12.12 | 12.00 | 13.92 | 12.14 | 12.83 | 10.30 | 10.56 | 9.95 | 11.49 | 9.86 | 9.29 | 8.79 | 9.79 | 10.85 | 11.37 | 11.33 |
June 30, 2025 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $1,453,476K ÷ $117,962K
= 12.32
The payables turnover ratio for The Marzetti Company demonstrates a fluctuating trend over the period from September 2020 to June 2025. Initially, the ratio remained relatively steady, hovering around 11.33 times in September 2020 and reaching 11.37 times by the end of 2020, indicating a stable period in the company’s management of its accounts payable.
Throughout 2021, the ratio exhibited a declining trajectory, decreasing from 10.85 in March 2021 to a low of 8.79 in September 2021, suggesting a lengthening of the accounts payable period or a potential easing in the pace at which the company settles its short-term liabilities. This downward trend persisted into late 2021 and early 2022, with ratios fluctuating modestly but staying below 10.00 until March 2022, reflecting a possible strategic delay in payments or changing supplier terms.
Starting mid-2022, the ratio experienced a notable upward shift, surpassing double digits, reaching 11.49 in June 2022 and further increasing to 12.83 by June 2023. This indicates an accelerated turnover of payables, implying that the company was paying its suppliers more promptly or shifting its payment practices to shorter durations.
In subsequent periods, the ratio maintained elevated levels, reaching as high as 13.92 in December 2023. During this time, a sustained higher ratio suggests a consistent move towards quicker payments or a change in the company's credit terms. However, in the first half of 2024, the ratio decreased slightly to 12.00 in March before stabilizing around 12.12 in June 2024 and rising again to 13.20 by September 2024 and 13.92 at the close of 2024. This pattern indicates continued strong payables management with a tendency towards prompt payments.
The ratios recorded in early 2025 show a slight moderation, with 11.89 in March and 12.32 in June. Overall, the company’s payables turnover ratio has experienced periods of decline and recovery, reflecting changes in payment practices, supplier terms, or overall liquidity strategies. The upward trends in recent years suggest a strategic emphasis on settling liabilities more quickly, potentially to maintain supplier relationships or optimize credit management within the company's operational framework.
Peer comparison
Jun 30, 2025