Patterson Companies Inc (PDCO)
Payables turnover
| Apr 27, 2024 | Jan 27, 2024 | Oct 28, 2023 | Jul 29, 2023 | Apr 29, 2023 | Jan 28, 2023 | Oct 29, 2022 | Jul 30, 2022 | Apr 30, 2022 | Jan 29, 2022 | Oct 30, 2021 | Jul 31, 2021 | Apr 24, 2021 | Jan 23, 2021 | Oct 24, 2020 | Jul 25, 2020 | Apr 25, 2020 | Jan 25, 2020 | Oct 26, 2019 | Jul 27, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 5,188,030 | 5,167,920 | 5,160,720 | 5,145,090 | 5,098,530 | 5,057,670 | 5,059,760 | 5,084,370 | 5,210,310 | 5,177,170 | 5,143,920 | 5,053,990 | 4,708,941 | 4,443,980 | 4,361,570 | 4,246,020 | 4,292,599 | 4,424,350 | 4,377,270 | 4,369,700 |
| Payables | US$ in thousands | 745,375 | 683,300 | 688,687 | 717,426 | 724,993 | 702,456 | 714,713 | 655,648 | 681,321 | 715,544 | 773,230 | 593,091 | 609,264 | 677,054 | 690,755 | 549,715 | 862,093 | 802,610 | 766,485 | 625,435 |
| Payables turnover | 6.96 | 7.56 | 7.49 | 7.17 | 7.03 | 7.20 | 7.08 | 7.75 | 7.65 | 7.24 | 6.65 | 8.52 | 7.73 | 6.56 | 6.31 | 7.72 | 4.98 | 5.51 | 5.71 | 6.99 |
April 27, 2024 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $5,188,030K ÷ $745,375K
= 6.96
Patterson Companies Inc's payables turnover ratio has shown some fluctuations over the past several quarters. The payables turnover ratio measures how efficiently a company is managing its accounts payable by indicating how many times a company pays off its suppliers during a period.
From the provided data, we can observe that the payables turnover ratio has ranged from a low of 4.98 to a high of 8.52 over the past few years. The average payables turnover ratio for the period under review is approximately 7.03.
The company's payables turnover ratio has generally been above 6, indicating that Patterson Companies Inc typically pays its suppliers multiple times within a year. A higher payables turnover ratio signifies that the company is efficiently managing its accounts payable and paying off its suppliers promptly.
However, there are some fluctuations in the ratio, which may indicate changes in the company's payment practices or supplier relationships. For example, a higher payables turnover ratio could suggest that the company is negotiating more favorable payment terms with its suppliers or is experiencing increased liquidity challenges.
Overall, Patterson Companies Inc's payables turnover ratio reflects a consistent trend of efficient management of accounts payable, with occasional fluctuations that may warrant further investigation into the company's supplier relationships and working capital management practices.
Peer comparison
Apr 27, 2024