Raytheon Technologies Corp (RTX)
Payables turnover
| 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 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 6,488,000 | 6,238,000 | 6,166,000 | 6,255,000 | 6,184,000 | 6,082,000 | 5,999,000 | 5,718,000 | 5,731,000 | 5,892,000 | 5,851,000 | 5,970,000 | 5,862,000 | 18,549,000 | 30,174,000 | 40,852,000 | 48,056,000 | 42,906,000 | 38,411,000 | 34,751,000 |
| Payables | US$ in thousands | 12,897,000 | 11,834,000 | 10,939,000 | 10,522,000 | 10,698,000 | 10,315,000 | 10,128,000 | 10,060,000 | 9,896,000 | 9,017,000 | 9,732,000 | 8,270,000 | 8,751,000 | 8,667,000 | 8,043,000 | 9,182,000 | 8,639,000 | 8,143,000 | 7,182,000 | 10,976,000 |
| Payables turnover | 0.50 | 0.53 | 0.56 | 0.59 | 0.58 | 0.59 | 0.59 | 0.57 | 0.58 | 0.65 | 0.60 | 0.72 | 0.67 | 2.14 | 3.75 | 4.45 | 5.56 | 5.27 | 5.35 | 3.17 |
December 31, 2024 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $6,488,000K ÷ $12,897,000K
= 0.50
The payables turnover ratio for Raytheon Technologies Corp has shown a declining trend over the years. It decreased from 3.17 on March 31, 2020, to 0.50 on December 31, 2024. This indicates that the company is taking longer to pay its suppliers, which could potentially strain its relationships with them. A decreasing payables turnover ratio may also suggest inefficiencies in the company's working capital management or changing payment terms with suppliers. Further analysis of the underlying reasons for the decreasing payables turnover ratio is recommended to assess the impact on the company's financial health and operational effectiveness.
Peer comparison
Dec 31, 2024
See also:
Raytheon Technologies Corp Payables Turnover (Quarterly Data)