ResMed Inc (RMD)

Payables turnover

		Jun 30, 2025	Mar 31, 2025	Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	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
Cost of revenue (ttm)	US$ in thousands	2,091,355	2,082,362	2,072,437	2,057,490	1,913,177	1,898,918	1,882,661	1,820,823	1,867,330	1,754,890	1,629,047	1,565,574	1,553,816	1,546,992	1,495,198	1,442,170	1,357,727	1,293,291	1,291,575	1,263,074
Payables	US$ in thousands	278,157	222,561	220,313	249,278	237,728	177,445	202,395	177,048	150,756	161,896	196,003	181,485	159,245	149,797	163,369	173,696	138,008	117,222	122,166	117,589
Payables turnover		7.52	9.36	9.41	8.25	8.05	10.70	9.30	10.28	12.39	10.84	8.31	8.63	9.76	10.33	9.15	8.30	9.84	11.03	10.57	10.74

June 30, 2025 calculation

Payables turnover = Cost of revenue (ttm) ÷ Payables
= $2,091,355K ÷ $278,157K
= 7.52

The payables turnover ratio for ResMed Inc. exhibits notable fluctuations over the analyzed period. Initially, the ratio stood at 10.74 times as of September 30, 2020, reflecting the company's efficiency in settling its payables. During the subsequent quarter ending December 31, 2020, there was a slight decline to 10.57, indicating a marginal slowdown in payment activity.

In the following quarter (March 31, 2021), the ratio increased modestly to 11.03, suggesting an improvement in payable management or accelerated payments. However, this upward trend was short-lived, as by June 30, 2021, the ratio declined to 9.84, signaling a reduction in the frequency of payments to suppliers. The trend continued into September 2021, with the ratio decreasing further to 8.30, which may imply extended payment periods or delayed settlement times.

Towards the end of 2021, the ratio experienced slight recovery, reaching 9.15 at December 31, 2021, and then rising more noticeably to 10.33 in March 2022. This resurgence indicates an increase in payables turnover, suggesting that the company was paying suppliers more promptly during this period.

In subsequent periods, the ratio experienced minor fluctuations, with a decrease to 9.76 in June 2022 and a further decline to 8.63 by September 2022. The ratio remained relatively stable into December 2022 at 8.31 before climbing again to 10.84 in March 2023, signifying a phase of improved payment efficiency.

The ratio peaked at 12.39 in June 2023, which may reflect an aggressive approach to paying suppliers or favorable payment terms. After this high point, a slight decline was observed, with the ratio at 10.28 by September 2023 and further decreasing to 9.30 in December 2023.

In 2024, the ratio showed signs of volatility: it rose to 10.70 in March but then fell to 8.05 in June before modestly recovering to 8.25 by September. As of the end of 2024, the ratio was recorded at 9.41, with a slight decrease to 9.36 in March 2025. The downward trend continued into mid-2025, with the ratio reaching 7.52 by June 2025, indicating extended periods for paying suppliers or changes in credit terms.

Overall, the payables turnover ratio for ResMed Inc. over the analyzed period displays fluctuations typical of dynamic working capital management. These changes may be influenced by shifts in payment policies, supplier terms, and strategic financial practices. The periods of increased turnover suggest periods of prompt payments, whereas declines reflect extensions in payment cycles, possibly to optimize cash flow management.