Perrigo Company PLC (PRGO)

Payables turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Cost of revenue	US$ in thousands	2,975,200	2,996,200	2,722,500	3,248,100	3,064,100
Payables	US$ in thousands	477,700	537,300	411,200	451,600	520,200
Payables turnover		6.23	5.58	6.62	7.19	5.89

December 31, 2023 calculation

Payables turnover = Cost of revenue ÷ Payables
= $2,975,200K ÷ $477,700K
= 6.23

Perrigo Company plc's payables turnover has shown fluctuations over the past five years. The payables turnover ratio indicates how efficiently the company is managing its accounts payable. A higher payables turnover ratio typically suggests that the company is paying its suppliers more quickly.

In the latest year, as of December 31, 2023, the payables turnover ratio was 6.23, an increase from 5.58 in 2022. This indicates that Perrigo Company plc improved its efficiency in paying its suppliers compared to the previous year.

Comparing the current ratio to the data from the previous years, it is notable that in 2021, the payables turnover ratio was 6.62, slightly higher than in 2023. However, in 2020 and 2019, the ratios were 5.97 and 5.89, respectively, lower than the most recent year.

Overall, Perrigo Company plc has shown a varying but generally healthy trend in managing its payables over the past five years, with the latest year indicating an improvement in efficiency in paying suppliers.