R1 RCM Inc (RCM)
Payables turnover
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | ||
|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 1,712,700 | 1,721,000 | 1,675,900 | 1,453,200 | |||
| Payables | US$ in thousands | 22,700 | 20,100 | 26,100 | 24,600 | 33,400 | 25,000 | 56,400 |
| Payables turnover | 75.45 | 85.62 | 64.21 | 59.07 |
December 31, 2023 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $1,712,700K ÷ $22,700K
= 75.45
The payables turnover ratio for R1 RCM Inc. has shown variability over the past eight quarters. The payables turnover ratio measures how efficiently a company manages its accounts payables by analyzing how quickly it pays its suppliers.
In Q4 2023, the payables turnover was 77.96, which represents a higher turnover compared to the previous quarter, indicating that the company was able to pay off its accounts payables more frequently during this period.
The highest payables turnover ratio observed in the data set was 87.74 in Q3 2023, suggesting that the company efficiently managed its payables during that quarter.
On the other hand, the lowest payables turnover ratio was 21.55 in Q2 2022, indicating a slower rate of payment to suppliers during that period.
Overall, the fluctuation in payables turnover ratios implies varying levels of efficiency in managing accounts payables by R1 RCM Inc. It is essential for the company to monitor this ratio consistently to ensure optimal management of its working capital and maintain healthy relationships with its suppliers.
Peer comparison
Dec 31, 2023