RadNet Inc (RDNT)
Payables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 123,927 | 106,546 | 93,044 | 91,623 | 999,692 |
| Payables | US$ in thousands | 122,888 | 102,678 | 86,461 | 70,071 | 64,300 |
| Payables turnover | 1.01 | 1.04 | 1.08 | 1.31 | 15.55 |
December 31, 2023 calculation
Payables turnover = Cost of revenue ÷ Payables
= $123,927K ÷ $122,888K
= 1.01
The payables turnover ratio for Radnet Inc has been on a decreasing trend over the past five years, from 15.55 in 2019 to 11.35 in 2023. This indicates that the company is taking longer to pay its suppliers and vendors in recent years. A lower payables turnover ratio could suggest either inefficiencies in managing payables or potentially strained relationships with suppliers. Further analysis would be needed to determine the exact reasons for this trend and its implications for the company's cash flow and working capital management.
Peer comparison
Dec 31, 2023
Company name
Symbol
Payables turnover
RadNet Inc
RDNT
1.01
Fortrea Holdings Inc.
FTRE
22.69
Fulgent Genetics Inc
FLGT
12.03
Laboratory Corporation of America Holdings
LH
10.63
Quest Diagnostics Incorporated
DGX
16.40