Rockwell Automation Inc (ROK)
Payables turnover
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 7,333,400 | 7,644,000 | 6,544,300 | 5,847,300 | 5,264,600 |
| Payables | US$ in thousands | 860,400 | 1,150,200 | 1,028,000 | 889,800 | 687,800 |
| Payables turnover | 8.52 | 6.65 | 6.37 | 6.57 | 7.65 |
September 30, 2024 calculation
Payables turnover = Cost of revenue ÷ Payables
= $7,333,400K ÷ $860,400K
= 8.52
Rockwell Automation Inc's payables turnover has shown a fluctuating trend over the past five years. The payables turnover ratio indicates how efficiently a company is managing its trade payables by paying off suppliers. The higher the ratio, the more quickly the company is paying its suppliers.
From 2020 to 2021, there was a notable decrease in the payables turnover ratio from 7.65 to 6.57, suggesting that Rockwell Automation Inc took longer to pay its suppliers in 2021 compared to the previous year. However, the ratio increased in 2022 to 6.37 but increased again to 6.65 in 2023.
The significant improvement was seen in 2024, with the payables turnover ratio reaching 8.52. This suggests that Rockwell Automation Inc has been more efficient in managing its trade payables in 2024, paying suppliers more quickly than in previous years.
Overall, the fluctuating trend of Rockwell Automation Inc's payables turnover indicates variations in the company's payment practices and relationships with suppliers over the past five years. Further analysis of the company's financial statements and industry benchmarks could provide deeper insights into the reasons behind these fluctuations.
Peer comparison
Sep 30, 2024