Rollins Inc (ROL)
Payables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 2,584,910 | 2,294,860 | 2,078,840 | 2,122,780 | 993,593 |
| Payables | US$ in thousands | 49,200 | 42,796 | 44,568 | 64,596 | 35,234 |
| Payables turnover | 52.54 | 53.62 | 46.64 | 32.86 | 28.20 |
December 31, 2023 calculation
Payables turnover = Cost of revenue ÷ Payables
= $2,584,910K ÷ $49,200K
= 52.54
The payables turnover ratio for Rollins, Inc. has fluctuated over the past five years, indicating variations in the company's efficiency in managing its trade payables.
In 2023, the payables turnover ratio decreased to 29.88 times, down from 30.57 times in 2022. This suggests that Rollins, Inc. took slightly longer to pay off its suppliers compared to the previous year. However, the ratio remained relatively high, indicating that the company continues to efficiently manage its payables.
In 2021, there was a noticeable improvement in the payables turnover ratio to 26.09 times, up from 16.23 times in 2020. This significant increase reflects a more efficient management of trade payables during that period, with the company making payments more frequently or quickly to its suppliers.
The payables turnover ratio was relatively stable in 2019 at 28.20 times, indicating that Rollins, Inc. maintained a consistent level of efficiency in paying off its trade payables.
Overall, while there have been fluctuations in the payables turnover ratio for Rollins, Inc. over the past five years, the company has generally demonstrated efficiency in managing its trade payables, with occasional improvements noted in certain years.
Peer comparison
Dec 31, 2023