Powell Industries Inc (POWL)
Payables turnover
| Sep 30, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 824,156 | 785,043 | 725,979 | 672,471 | 630,568 | 604,172 | 567,614 | 533,625 | 518,393 | 491,710 | 474,282 | 466,726 | 462,913 | 448,237 | 446,510 | 468,730 | 493,165 | 522,870 | 538,231 | 518,630 |
| Payables | US$ in thousands | 73,633 | 79,693 | 79,767 | 50,173 | 56,666 | 62,849 | 51,209 | 38,632 | 63,423 | 46,235 | 48,697 | 42,348 | 45,247 | 33,416 | 39,598 | 28,012 | 35,029 | 38,512 | 44,106 | 45,166 |
| Payables turnover | 11.19 | 9.85 | 9.10 | 13.40 | 11.13 | 9.61 | 11.08 | 13.81 | 8.17 | 10.64 | 9.74 | 11.02 | 10.23 | 13.41 | 11.28 | 16.73 | 14.08 | 13.58 | 12.20 | 11.48 |
September 30, 2024 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $824,156K ÷ $73,633K
= 11.19
Powell Industries Inc's payables turnover ratio has shown fluctuating trends over the past quarters. The payables turnover ratio measures how efficiently the company is managing its accounts payable by paying its suppliers.
The ratio has varied between 8.17 and 16.73 over the last 20 quarters, with a current value of 11.19 as of September 30, 2024. A high turnover ratio suggests that the company is paying its suppliers more frequently, which could indicate strong liquidity and good supplier relationships.
The highest payables turnover ratio was reported in December 2020 at 16.73, indicating a peak in the efficiency of Powell Industries Inc's payables management during that period. On the other hand, the lowest ratio of 8.17 was observed in September 2022, suggesting a potential delay in paying suppliers or a change in the company's accounts payable policies.
Overall, Powell Industries Inc has demonstrated generally strong efficiency in managing its accounts payable over the analyzed periods, with some fluctuations in performance. It is essential for the company to strike a balance between timely payments to suppliers and maintaining healthy cash flow levels to sustain operational activities effectively.
Peer comparison
Sep 30, 2024