RPC Inc (RES)

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	1,380,971	1,036,924	1,096,414	1,077,711	953,307	1,202,075	1,053,274	929,472	859,520	612,552	544,282	481,066	749,402	1,003,228	1,179,421	1,400,811	1,278,205	1,376,665	1,434,296	1,477,741
Payables	US$ in thousands	85,036	88,389	88,006	114,357	115,213	146,569	102,190	76,974	74,404	60,862	53,524	60,649	41,080	46,713	21,083	70,601	53,147	82,813	122,766	109,892
Payables turnover		16.24	11.73	12.46	9.42	8.27	8.20	10.31	12.08	11.55	10.06	10.17	7.93	18.24	21.48	55.94	19.84	24.05	16.62	11.68	13.45

December 31, 2023 calculation

Payables turnover = Cost of revenue (ttm) ÷ Payables
= $1,380,971K ÷ $85,036K
= 16.24

The payables turnover ratio for RPC, Inc. has been fluctuating over the past eight quarters. It indicates how many times the company pays off its accounts payable during a specific period. A higher turnover ratio is generally preferred as it suggests that the company is efficiently managing its payables.

In Q4 2023, RPC, Inc. had a payables turnover of 12.81, which decreased slightly from Q3 2023 at 12.66. However, it remained relatively high compared to previous quarters. This could imply that the company is efficiently managing its accounts payable and regularly paying off its liabilities.

Looking at the trend over the past year, there has been a significant improvement in the payables turnover ratio from Q1 2022 to Q2 2023, indicating that RPC, Inc. has been more effective in managing its payables during this period.

Overall, the payables turnover ratio for RPC, Inc. demonstrates a positive trend over the last eight quarters, reflecting efficient management of accounts payable and potentially strong liquidity management practices within the company.