Pentair PLC (PNR)
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 | 2,775,800 | 2,924,200 | 2,994,200 | 3,015,900 | 3,036,500 | 2,891,700 | 2,819,100 | 2,714,500 | 2,597,800 | 2,448,100 | 2,334,800 | 2,202,900 | 2,110,600 | 1,928,700 | 1,866,200 | 1,910,800 | 1,905,700 | 1,897,200 | 1,906,200 | 1,891,400 |
| Payables | US$ in thousands | 278,900 | 286,100 | 329,700 | 331,300 | 355,000 | 372,000 | 372,500 | 396,800 | 385,700 | 342,500 | 315,300 | 297,100 | 245,100 | 276,600 | 256,000 | 268,200 | 325,100 | 253,400 | 261,700 | 265,300 |
| Payables turnover | 9.95 | 10.22 | 9.08 | 9.10 | 8.55 | 7.77 | 7.57 | 6.84 | 6.74 | 7.15 | 7.41 | 7.41 | 8.61 | 6.97 | 7.29 | 7.12 | 5.86 | 7.49 | 7.28 | 7.13 |
December 31, 2023 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $2,775,800K ÷ $278,900K
= 9.95
Pentair plc's payables turnover has shown a generally increasing trend over the past eight quarters, indicating that the company is taking fewer days to pay its suppliers. In Q4 2023, the payables turnover ratio reached 9.27, the highest value in the table, suggesting that Pentair has been managing its accounts payable efficiently. This implies that Pentair is effectively managing its working capital and is possibly negotiating favorable credit terms with its suppliers. The consistent improvement in payables turnover ratios over time reflects positively on Pentair's liquidity and ability to meet its short-term obligations timely.
Peer comparison
Dec 31, 2023