Impinj Inc (PI)
Payables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 262,461 | 203,173 | 163,474 | 137,404 | 136,050 |
| Payables | US$ in thousands | 8,661 | 25,024 | 11,732 | 10,144 | 5,600 |
| Payables turnover | 30.30 | 8.12 | 13.93 | 13.55 | 24.29 |
December 31, 2023 calculation
Payables turnover = Cost of revenue ÷ Payables
= $262,461K ÷ $8,661K
= 30.30
Impinj Inc's payables turnover has fluctuated over the past five years, ranging from a low of 8.12 in 2022 to a high of 30.30 in 2023. The payables turnover ratio measures how efficiently a company manages its trade payables by paying off suppliers. A higher turnover ratio generally indicates that the company is paying its suppliers more frequently, which can be a positive sign of strong liquidity and efficient working capital management.
Impinj Inc's payables turnover of 30.30 in 2023 shows a significant improvement compared to the previous years, suggesting that the company paid off its suppliers more frequently during that period. Conversely, the lower ratios in 2022 and 2020 could indicate that the company took longer to pay its suppliers during those years.
Overall, fluctuations in the payables turnover ratio should be analyzed in conjunction with other financial metrics to get a comprehensive understanding of Impinj Inc's financial performance and its relationship with suppliers.
Peer comparison
Dec 31, 2023