Revvity Inc. (RVTY)
Payables turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 1,393,790 | 1,483,450 | 1,321,990 | 1,393,820 | 1,672,870 |
| Payables | US$ in thousands | 167,463 | 204,121 | 272,826 | 324,811 | 327,325 |
| Payables turnover | 8.32 | 7.27 | 4.85 | 4.29 | 5.11 |
December 31, 2024 calculation
Payables turnover = Cost of revenue ÷ Payables
= $1,393,790K ÷ $167,463K
= 8.32
Based on the provided data, Revvity Inc.'s payables turnover has demonstrated fluctuations over the years. The payables turnover ratio measures how efficiently a company pays its suppliers.
In December 31, 2020, the payables turnover ratio was 5.11 times, indicating that the company paid its suppliers approximately 5.11 times during that year. However, by December 31, 2021, the ratio decreased to 4.29 times, suggesting a potential lengthening of the payment period to suppliers.
Subsequently, by December 31, 2022, the payables turnover ratio improved to 4.85 times, signaling a possible enhancement in the efficiency of paying suppliers. Furthermore, the ratio notably increased to 7.27 times by December 31, 2023, and further spiked to 8.32 times by December 31, 2024, indicating a significant improvement in the rate at which the company settled its payables.
Overall, the increasing trend in the payables turnover ratio from 2020 to 2024 suggests that Revvity Inc. managed its payables more effectively over the years, potentially negotiating better payment terms with suppliers or streamlining its internal processes for paying obligations.
Peer comparison
Dec 31, 2024