Papa John's International Inc (PZZA)

Payables turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Cost of revenue	US$ in thousands	273,206	290,381	292,039	270,209	278,575
Payables	US$ in thousands	74,949	62,316	28,092	37,370	29,141
Payables turnover		3.65	4.66	10.40	7.23	9.56

December 31, 2023 calculation

Payables turnover = Cost of revenue ÷ Payables
= $273,206K ÷ $74,949K
= 3.65

Based on the data provided, we observe that Papa John's International, Inc. has reported a payables turnover of 0.00 for the past five years, including the most recent data as of December 31, 2023. A payables turnover ratio of 0.00 indicates that the company is not effectively managing its accounts payable. This could be due to various factors such as extended payment terms with suppliers, inefficient cash flow management, or significant delays in paying off its liabilities.

A payables turnover ratio of 0.00 suggests that the company is not efficiently utilizing its accounts payable to fund its operations or take advantage of potential early payment discounts. It also raises concerns about the company's relationships with its suppliers and its ability to maintain positive working capital.

Overall, the consistently low payables turnover ratio over the past five years for Papa John's International, Inc. signals a need for the company to review and improve its accounts payable management strategies to enhance operational efficiency and financial performance.