Rush Enterprises A Inc (RUSHA)

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	6,331,940	6,185,380	6,081,930	5,909,750	5,614,510	5,135,060	4,636,396	4,264,606	4,033,838	4,048,458	4,030,348	3,795,299	3,860,467	3,911,727	4,280,111	4,744,990	4,784,230	4,982,560	4,775,140	4,605,530
Payables	US$ in thousands	162,134	177,142	186,809	200,412	171,717	185,695	175,563	171,119	122,291	128,137	124,124	136,329	110,728	109,982	98,011	122,830	133,697	137,781	144,743	149,077
Payables turnover		39.05	34.92	32.56	29.49	32.70	27.65	26.41	24.92	32.99	31.59	32.47	27.84	34.86	35.57	43.67	38.63	35.78	36.16	32.99	30.89

December 31, 2023 calculation

Payables turnover = Cost of revenue (ttm) ÷ Payables
= $6,331,940K ÷ $162,134K
= 39.05

The payables turnover ratio for Rush Enterprises A Inc has shown variations over the past five years. The ratio measures how efficiently the company pays its suppliers. A higher payables turnover ratio indicates that the company is managing its payables effectively by paying its suppliers more frequently.

Dec 31, 2023: The payables turnover ratio was 39.05, indicating a significant improvement in payables management compared to the previous quarter.
Sep 30, 2023: The ratio decreased to 34.92, but it remained relatively high compared to historical data.
Jun 30, 2023: The ratio further decreased to 32.56 but remained above historical averages.
Mar 31, 2023: The ratio decreased to 29.49, indicating a slight decrease in the efficiency of payables management.
Dec 31, 2022: The ratio was 32.70, showing an improvement in payables turnover from the previous quarter.

Overall, Rush Enterprises A Inc has shown fluctuations in its payables turnover ratio, but it has generally maintained a good level of efficiency in managing its payables over the past five years. A higher payables turnover ratio is generally positive, as it indicates that the company is paying its suppliers quickly, which can help maintain good relationships with vendors and potentially negotiate better terms in the future.