Penumbra Inc (PEN)

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	375,879	360,981	346,104	325,775	311,926	307,701	299,555	290,818	272,208	266,229	256,177	230,784	222,237	196,787	180,138	180,232	175,441	170,387	163,677	160,790
Payables	US$ in thousands	27,155	27,996	25,819	28,199	26,679	25,365	23,096	14,137	13,421	13,679	—	15,389	14,109	14,544	14,432	15,843	15,111	11,962	8,743	7,692
Payables turnover		13.84	12.89	13.41	11.55	11.69	12.13	12.97	20.57	20.28	19.46	—	15.00	15.75	13.53	12.48	11.38	11.61	14.24	18.72	20.90

December 31, 2023 calculation

Payables turnover = Cost of revenue (ttm) ÷ Payables
= $375,879K ÷ $27,155K
= 13.84

Penumbra Inc's payables turnover ratio has shown some variability over the quarters under consideration. The payables turnover ratio measures how efficiently a company is managing its accounts payable by comparing the cost of goods sold to average accounts payable during a certain period.

In Q4 2023, the payables turnover ratio was 13.84, indicating that Penumbra Inc paid its suppliers approximately 13.84 times during that quarter. This showed a slight increase from the previous quarter's ratio of 12.89 in Q3 2023. It's important to note that a higher payables turnover ratio generally indicates that the company is managing its payables more efficiently.

Looking further back, the payables turnover ratio was relatively stable in the preceding quarters of 2023, with ratios of 13.41 in Q2 and 11.55 in Q1. Comparing with the same quarters in 2022, there has been some fluctuation in the ratio, with Q1 2022 showing a notably lower ratio of 20.57, possibly indicating a longer payment cycle or delays in settling accounts payable during that period.

Overall, Penumbra Inc's payables turnover ratio has shown some variability, but the recent increase in Q4 2023 suggests an improvement in managing its payables efficiently. Further analysis of the company's payment policies, vendor relationships, and industry trends could provide more insights into the reasons behind these fluctuations.