Rambus Inc (RMBS)

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	103,422	112,690	115,642	116,856	107,579	91,933	83,375	75,441	70,394	66,107	62,945	62,215	60,748	61,873	59,183	56,062	51,375	61,337	54,715	52,777
Payables	US$ in thousands	18,074	15,682	17,643	18,117	24,815	20,405	20,183	15,540	11,279	13,281	8,975	7,802	8,993	13,323	14,016	15,730	9,549	9,429	7,794	8,274
Payables turnover		5.72	7.19	6.55	6.45	4.34	4.51	4.13	4.85	6.24	4.98	7.01	7.97	6.76	4.64	4.22	3.56	5.38	6.51	7.02	6.38

December 31, 2023 calculation

Payables turnover = Cost of revenue (ttm) ÷ Payables
= $103,422K ÷ $18,074K
= 5.72

The payables turnover ratio of Rambus Inc. has shown fluctuations over the past eight quarters. The ratio ranges from a low of 3.43 in Q2 2022 to a high of 6.29 in Q3 2023.

Generally, a higher payables turnover ratio indicates that the company is paying off its suppliers quickly, which may be a positive signal of strong liquidity and efficient management of payables. On the other hand, a lower ratio may suggest that the company is taking longer to settle its payables, which could potentially strain supplier relationships.

It is important to note that the analysis of the payables turnover ratio should be considered in conjunction with other financial metrics and qualitative factors to get a comprehensive understanding of Rambus Inc.'s financial performance and management efficiency.