Ollie's Bargain Outlet Hldg (OLLI)

Payables turnover

		Feb 3, 2024	Jan 28, 2023	Jan 29, 2022	Jan 30, 2021	Feb 1, 2020
Cost of revenue	US$ in thousands	1,874,860	1,696,080	1,548,400	1,531,320	1,236,360
Payables	US$ in thousands	128,097	90,204	106,599	117,217	63,223
Payables turnover		14.64	18.80	14.53	13.06	19.56

February 3, 2024 calculation

Payables turnover = Cost of revenue ÷ Payables
= $1,874,860K ÷ $128,097K
= 14.64

The payables turnover ratio for Ollie's Bargain Outlet Hldg has fluctuated over the past five years. In the most recent fiscal year, ending February 3, 2024, the company's payables turnover was 14.64, indicating that, on average, the company paid off its accounts payable approximately 14.64 times during the year. This represents a decrease from the previous year's payables turnover of 18.80.

Comparing the current ratio to the data from the prior years, Ollie's payables turnover for 2024 is lower than the figures for 2023 and 2020, suggesting that the company took longer to settle its accounts payable in the most recent fiscal year. However, the payables turnover for 2024 is higher than that of 2022 and 2021, indicating a relatively more efficient management of payables in the latest year.

Overall, while the payables turnover ratio can vary from year to year, it is essential for Ollie's Bargain Outlet Hldg to effectively manage its accounts payable to optimize cash flow and maintain healthy vendor relationships.