NVIDIA Corporation (NVDA)
Payables turnover
| Jan 28, 2024 | Oct 29, 2023 | Jul 30, 2023 | Apr 30, 2023 | Jan 29, 2023 | Oct 30, 2022 | Jul 31, 2022 | May 1, 2022 | Jan 30, 2022 | Oct 31, 2021 | Aug 1, 2021 | May 2, 2021 | Jan 31, 2021 | Oct 25, 2020 | Jul 26, 2020 | Apr 26, 2020 | Jan 26, 2020 | Oct 27, 2019 | Jul 28, 2019 | Apr 28, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 16,621,000 | 13,527,000 | 11,561,000 | 11,305,000 | 11,618,000 | 12,044,000 | 11,762,000 | 10,265,000 | 9,440,000 | 8,643,000 | 7,937,000 | 7,236,000 | 6,280,000 | 5,523,000 | 4,855,000 | 4,302,000 | 4,150,000 | 4,058,000 | 4,220,000 | 4,330,000 |
| Payables | US$ in thousands | 2,699,000 | 2,380,000 | 1,929,000 | 1,141,000 | 1,193,000 | 1,491,000 | 2,421,000 | 1,999,000 | 1,783,000 | 1,664,000 | 1,474,000 | 1,218,000 | 1,149,000 | 1,097,000 | 893,000 | 761,000 | 687,000 | 591,000 | 437,000 | 368,000 |
| Payables turnover | 6.16 | 5.68 | 5.99 | 9.91 | 9.74 | 8.08 | 4.86 | 5.14 | 5.29 | 5.19 | 5.38 | 5.94 | 5.47 | 5.03 | 5.44 | 5.65 | 6.04 | 6.87 | 9.66 | 11.77 |
January 28, 2024 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $16,621,000K ÷ $2,699,000K
= 6.16
The payables turnover for NVIDIA Corp has shown some fluctuations over the quarters under review. In Q4 2024, it stood at 6.16, which was an increase from the previous quarter's 5.68. This indicates that the company took approximately 6.16 times to pay off its accounts payable during Q4 2024.
Comparing this figure to Q3 2024, we see a slight improvement in the efficiency of payables management. However, Q4 2024 figure was still lower when compared to Q1 2024 and Q4 2023, where the payables turnover was significantly higher at 9.91 and 9.74 respectively.
Overall, the company’s ability to manage its payables has been relatively steady, with occasional fluctuations. It is essential for the company to monitor and manage its payables turnover effectively to ensure efficient working capital management and maintain good relationships with suppliers.
Peer comparison
Jan 28, 2024