Envista Holdings Corp (NVST)
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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 2,595,100 | 2,327,900 | 2,332,800 | 2,331,600 | 2,311,800 | 2,333,400 | 2,304,400 | 2,276,900 | 2,248,600 | 2,597,400 | 2,561,400 | 2,486,800 | 2,532,200 | 1,810,100 | |||
| Payables | US$ in thousands | 179,500 | 168,600 | 176,800 | 186,800 | 228,300 | 190,000 | — | — | 185,800 | — | — | — | 235,100 | — | — | — | — |
| Payables turnover | 14.46 | 13.81 | 13.19 | 12.48 | 10.13 | 12.28 | — | — | 12.10 | — | — | — | 10.77 | — |
December 31, 2023 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $2,595,100K ÷ $179,500K
= 14.46
Envista Holdings Corp's payables turnover has shown a fluctuating trend over the past eight quarters, ranging from a low of 4.79 in Q4 2022 to a high of 6.59 in Q3 2023. The payables turnover ratio indicates how efficiently the company is managing its trade payables by measuring the number of times trade payables are paid off in a given period.
A higher payables turnover ratio suggests that the company is effectively managing its payables by paying them off more frequently, which could indicate strong supplier relationships or efficient working capital management. In contrast, a lower ratio may suggest that the company is taking longer to pay off its trade payables, potentially indicating liquidity issues or strained supplier relationships.
The fluctuation in Envista Holdings Corp's payables turnover ratio over the quarters may reflect changes in its payment policies, changes in supplier terms, or variations in the company's working capital management strategies. It would be important to analyze the context surrounding these changes, such as any strategic shifts or external factors impacting the company's payables turnover ratio.
Overall, while the trend in Envista Holdings Corp's payables turnover ratio shows some variability, further analysis and comparison with industry benchmarks and historical trends would provide a more comprehensive understanding of the company's management of its trade payables.
Peer comparison
Dec 31, 2023