Nextracker Inc. Class A Common Stock (NXT)

Payables turnover

		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
Cost of revenue (ttm)	US$ in thousands	1,950,372	1,727,762	1,790,003	1,803,474	1,686,792	1,718,830	1,649,240	1,627,596	1,615,164	1,587,942	1,460,674	1,361,854	1,314,061	1,158,556	1,100,069	1,024,695	963,636
Payables	US$ in thousands	585,299	377,466	406,546	387,401	456,639	374,919	403,478	293,451	211,355	311,354	355,829	295,195	266,596	266,596	246,823	232,527	231,460
Payables turnover		3.33	4.58	4.40	4.66	3.69	4.58	4.09	5.55	7.64	5.10	4.10	4.61	4.93	4.35	4.46	4.41	4.16

March 31, 2025 calculation

Payables turnover = Cost of revenue (ttm) ÷ Payables
= $1,950,372K ÷ $585,299K
= 3.33

Nextracker Inc.'s payables turnover ratio has shown some fluctuations over the years based on the provided data. The payables turnover ratio measures how efficiently a company manages its payments to suppliers or creditors.

From March 31, 2021, to March 31, 2025, the payables turnover ratio for Nextracker Inc. ranged from a low of 3.33 to a high of 7.64. A higher payables turnover ratio indicates that the company is paying its suppliers more quickly, which could be a sign of good financial health and effective working capital management.

In analyzing the trend, we observe that the payables turnover ratio generally increased in the first part of the period, reaching its peak at 7.64 on March 31, 2023, before starting to decline again. However, during the latter part of the period, the ratio fluctuated within a narrower range, suggesting some variability in the company's payment practices.

Overall, the fluctuations in Nextracker Inc.'s payables turnover ratio indicate changes in its payment policies or relationships with suppliers. Investors and analysts may need to further investigate the reasons behind these fluctuations to assess the company's liquidity management and supplier relationships effectively.