Premier Inc (PINC)
Payables turnover
| Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 458,349 | 451,766 | 432,665 | 436,088 | 439,806 | 448,555 | 480,749 | 506,579 | 547,862 | 692,922 | 815,682 | 884,811 | 883,818 | 760,549 | 605,561 | 493,958 | 432,791 | 392,879 | 375,792 | 363,502 |
| Payables | US$ in thousands | 60,361 | 67,341 | 54,252 | 48,545 | 54,375 | 53,486 | 61,422 | 59,803 | 44,631 | 53,720 | 70,510 | 89,533 | 85,413 | 100,348 | 94,523 | 68,213 | 54,841 | 62,304 | 53,265 | 57,376 |
| Payables turnover | 7.59 | 6.71 | 7.98 | 8.98 | 8.09 | 8.39 | 7.83 | 8.47 | 12.28 | 12.90 | 11.57 | 9.88 | 10.35 | 7.58 | 6.41 | 7.24 | 7.89 | 6.31 | 7.06 | 6.34 |
June 30, 2024 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $458,349K ÷ $60,361K
= 7.59
Premier Inc's payables turnover ratio has fluctuated over the past few quarters, indicating varying efficiency in managing its trade payables. The payables turnover ratio provides insight into how quickly the company is paying off its suppliers. A higher turnover ratio typically indicates that the company is paying its suppliers more quickly.
From the data provided, we can see that Premier Inc's payables turnover ratio has ranged from a low of 6.31 to a high of 12.90 over the last few quarters. It reached its peak in the first quarter of 2022 and then experienced a slight decline before picking up again in the current quarter.
The trend in Premier Inc's payables turnover ratio suggests that the company is managing its payables effectively, with occasional fluctuations. It's important to compare this ratio with industry benchmarks and historical performance to gain further insights into the company's payables management. Furthermore, assessing the underlying reasons for fluctuations in the payables turnover ratio can help identify areas for improvement in working capital management and supplier relationships.
Peer comparison
Jun 30, 2024