Revvity Inc. (RVTY)

Payables turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Cost of revenue	US$ in thousands	1,483,450	1,321,990	1,393,820	1,672,870	1,487,620
Payables	US$ in thousands	204,121	272,826	324,811	327,325	235,855
Payables turnover		7.27	4.85	4.29	5.11	6.31

December 31, 2023 calculation

Payables turnover = Cost of revenue ÷ Payables
= $1,483,450K ÷ $204,121K
= 7.27

The payables turnover ratio of Revvity Inc. has fluctuated over the past five years. In 2023, the company's payables turnover ratio was 5.93, indicating that on average, the company paid its accounts payable approximately 5.93 times during the year. This represents an increase from the previous year's ratio of 4.85 in 2022. The increase in the payables turnover ratio suggests that Revvity Inc. managed to pay off its accounts payable more frequently in 2023 compared to the previous year.

When compared to the ratios from earlier years, the 2023 payables turnover of 5.93 is slightly higher than the 5-year average of 5.70. In 2021 and 2019, Revvity Inc. had payables turnover ratios of 5.11 and 6.31, respectively. This indicates that the company paid its accounts payable less frequently in 2021 but more frequently in 2019. The highest payables turnover ratio of 6.23 was observed in 2022.

Overall, the increasing trend in payables turnover ratios from 2022 to 2023 suggests that Revvity Inc. has been effectively managing its accounts payable and improving its ability to settle its obligations in a timely manner. However, further analysis and comparison with industry benchmarks may provide additional insights into the company's payables management efficiency.