Newell Brands Inc (NWL)
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 | 8,325,000 | 7,932,000 | 7,939,000 | 8,069,000 | 8,403,000 | 8,686,000 | 8,978,000 | 9,170,000 | 9,106,000 | 9,579,000 | 9,382,000 | 8,898,000 | 10,091,000 | 11,564,100 | 11,489,300 | 11,478,700 | 9,986,800 | 18,438,900 | 17,636,900 | 17,126,500 |
| Payables | US$ in thousands | 1,003,000 | 1,084,000 | 1,013,000 | 1,092,000 | 1,062,000 | 1,437,000 | 1,700,000 | 1,651,000 | 1,680,000 | 1,709,000 | 1,577,000 | 1,501,000 | 1,526,000 | 1,415,000 | 1,157,000 | 1,036,000 | 1,102,000 | 1,118,500 | 1,083,800 | 934,900 |
| Payables turnover | 8.30 | 7.32 | 7.84 | 7.39 | 7.91 | 6.04 | 5.28 | 5.55 | 5.42 | 5.61 | 5.95 | 5.93 | 6.61 | 8.17 | 9.93 | 11.08 | 9.06 | 16.49 | 16.27 | 18.32 |
December 31, 2023 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $8,325,000K ÷ $1,003,000K
= 8.30
The payables turnover ratio for Newell Brands Inc fluctuated over the past eight quarters. The ratio ranged from a low of 4.27 in Q2 2022 to a high of 6.24 in Q4 2022. Payables turnover indicates how efficiently a company is managing its trade payables by comparing the company's purchases to its average accounts payable.
A higher payables turnover ratio suggests that the company is paying off its suppliers more quickly, which could indicate strong liquidity or effective negotiation with suppliers for favorable credit terms. Conversely, a lower ratio may indicate that the company is taking longer to pay its suppliers, which could signal liquidity issues or strained relationships with suppliers.
Overall, Newell Brands Inc has shown variations in its payables turnover ratio, which could be attributed to changes in the company's payment practices, purchasing patterns, or supplier relationships. Further analysis and comparison with industry benchmarks would provide a deeper understanding of the company's payables management efficiency.
Peer comparison
Dec 31, 2023