Omnicom Group Inc (OMC)
Payables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 12,779,000 | 12,205,800 | 12,091,500 | 11,854,100 | 12,831,400 |
| Payables | US$ in thousands | 11,634,000 | 11,000,200 | 11,897,200 | 11,513,000 | 11,768,400 |
| Payables turnover | 1.10 | 1.11 | 1.02 | 1.03 | 1.09 |
December 31, 2023 calculation
Payables turnover = Cost of revenue ÷ Payables
= $12,779,000K ÷ $11,634,000K
= 1.10
The payables turnover ratio for Omnicom Group, Inc. has been calculated as 0.00 for the years ending December 31, 2019 through December 31, 2023. A payables turnover ratio of 0.00 indicates that the company's payables turnover is effectively zero, suggesting that there may be issues with the management of accounts payable during this period. This could be due to various reasons such as extended payment terms negotiated with suppliers, inefficient accounts payable processes, or possibly an error or issue with the financial data.
A payables turnover ratio of 0.00 is unusual and could be a cause for concern as it implies that the company is not effectively utilizing its accounts payable to support its operations or working capital management. Further investigation into the reasons behind this extremely low ratio would be necessary to assess the financial health and efficiency of Omnicom Group, Inc.
Peer comparison
Dec 31, 2023