Liveramp Holdings Inc (RAMP)

Payables turnover

		Mar 31, 2024	Mar 31, 2023	Mar 31, 2022	Mar 31, 2021	Mar 31, 2020
Cost of revenue	US$ in thousands	496,795	521,718	454,523	443,748	470,420
Payables	US$ in thousands	81,202	86,568	83,197	48,855	57,019
Payables turnover		6.12	6.03	5.46	9.08	8.25

March 31, 2024 calculation

Payables turnover = Cost of revenue ÷ Payables
= $496,795K ÷ $81,202K
= 6.12

The payables turnover ratio for Liveramp Holdings Inc has shown a consistent trend over the past five years. The ratio measures how efficiently the company is managing its payables by indicating how many times a company pays off its average accounts payable balance during a period.

The payables turnover ratio has ranged from 5.46 to 9.08 over the last five years. A higher ratio indicates that the company is paying off its suppliers more frequently, which could suggest strong liquidity and effective management of working capital.

In the most recent year, as of March 31, 2024, the payables turnover ratio stands at 6.12, which is slightly higher compared to the previous year's ratio of 6.03. This improvement could imply that Liveramp is managing its accounts payable more efficiently and potentially negotiating better payment terms with its suppliers.

Overall, the consistent and relatively high payables turnover ratios indicate that Liveramp Holdings Inc has been effectively managing its payables and maintaining good relationships with its suppliers over the past five years.