Regeneron Pharmaceuticals Inc (REGN)

Payables turnover

		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	Mar 31, 2019
Cost of revenue (ttm)	US$ in thousands	2,840,300	1,931,200	1,870,100	1,713,600	1,562,500	2,368,000	2,272,300	2,331,400	2,287,000	1,801,000	1,644,200	1,437,900	1,399,600	1,706,700	1,803,300	1,876,000	1,919,500	1,746,614	1,692,346	1,636,230
Payables	US$ in thousands	606,600	536,600	547,300	599,500	589,200	—	—	—	564,000	—	—	—	475,500	—	—	—	418,100	—	—	—
Payables turnover		4.68	3.60	3.42	2.86	2.65	—	—	—	4.05	—	—	—	2.94	—	—	—	4.59	—	—	—

December 31, 2023 calculation

Payables turnover = Cost of revenue (ttm) ÷ Payables
= $2,840,300K ÷ $606,600K
= 4.68

Regeneron Pharmaceuticals, Inc.'s payables turnover has been fluctuating over the past eight quarters. The payables turnover ratio indicates the number of times a company pays off its suppliers during a specific period. A higher payables turnover ratio generally indicates that the company is managing its accounts payables efficiently.

In Q1 2022, the payables turnover was relatively high at 3.82, which suggests that the company was paying its suppliers frequently during that period. However, this ratio decreased steadily in subsequent quarters, reaching its lowest point of 1.34 in Q1 2023. This decline may indicate a slowdown in the company's payment of its accounts payables, which could potentially strain relationships with suppliers if prolonged.

Overall, Regeneron Pharmaceuticals, Inc. should monitor its payables turnover ratio closely to ensure it strikes a balance between managing its cash flow effectively and maintaining positive relationships with its suppliers.