RBC Bearings Incorporated (RBC)
Payables turnover
| 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 | Sep 30, 2019 | Jun 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 889,800 | 882,367 | 841,232 | 622,124 | 403,101 | 396,458 | 395,301 | 493,545 | 585,800 | 462,324 | 378,989 | 370,292 | 374,900 | 420,756 | 469,983 | 524,122 | 571,449 | 568,650 | 564,018 | 557,131 |
| Payables | US$ in thousands | 116,200 | 123,700 | 130,600 | 140,000 | 146,800 | 136,722 | 148,870 | 161,834 | 158,600 | 140,374 | 47,594 | 42,687 | 36,336 | 39,936 | 39,600 | 51,812 | 51,038 | 50,209 | 50,788 | 51,635 |
| Payables turnover | 7.66 | 7.13 | 6.44 | 4.44 | 2.75 | 2.90 | 2.66 | 3.05 | 3.69 | 3.29 | 7.96 | 8.67 | 10.32 | 10.54 | 11.87 | 10.12 | 11.20 | 11.33 | 11.11 | 10.79 |
March 31, 2024 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $889,800K ÷ $116,200K
= 7.66
The payables turnover ratio for RBC Bearings Incorporated shows fluctuating trends over the period analyzed. The ratio indicates how efficiently the company is managing its accounts payable by paying off its suppliers.
From March 31, 2019, to September 30, 2020, the payables turnover ratio steadily improved, indicating that the company was managing its payables more efficiently during this period. However, from March 31, 2020, to June 30, 2021, the ratio saw a significant increase, reaching peak levels by the end of 2020, which could suggest the company was taking longer to pay off its suppliers during this period.
From June 30, 2021, to December 31, 2023, the payables turnover ratio showed a decreasing trend, indicating that the company was taking more time to pay off its suppliers. This could signal potential liquidity challenges or changes in the company's payment policies.
Analyzing the latest data point, the payables turnover for March 31, 2024, increased compared to the previous quarter, which could suggest a positive development in managing payables, assuming the increase is sustainable and not an anomaly.
Overall, a high payables turnover ratio may indicate that RBC Bearings is efficiently managing its payables and maintaining good relationships with its suppliers. However, a significant fluctuation in this ratio over time may require further investigation into the company's cash flow management and supplier relationships.
Peer comparison
Mar 31, 2024