Saia Inc (SAIA)

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	2,795,933	1,656,524	1,598,821	1,534,361	1,485,499	1,424,353	1,374,202	1,353,148	1,339,840	1,327,223	1,304,904	1,280,330	1,233,813	1,197,244	1,168,158	1,123,798	1,117,005	1,099,501	1,096,251	1,104,312
Payables	US$ in thousands	114,560	161,241	155,590	153,487	141,877	112,594	98,249	108,362	99,792	114,697	145,298	130,163	114,010	140,774	100,499	121,613	89,381	97,060	81,516	91,395
Payables turnover		24.41	10.27	10.28	10.00	10.47	12.65	13.99	12.49	13.43	11.57	8.98	9.84	10.82	8.50	11.62	9.24	12.50	11.33	13.45	12.08

December 31, 2024 calculation

Payables turnover = Cost of revenue (ttm) ÷ Payables
= $2,795,933K ÷ $114,560K
= 24.41

The payables turnover ratio measures how efficiently a company is managing its accounts payable by evaluating how many times a company pays off its average accounts payable balance during a specific period. A higher payables turnover ratio typically indicates that a company is paying off its suppliers more quickly.

Analyzing Saia Inc's payables turnover ratio over the past few years, we can see fluctuations in the ratio. From March 31, 2020, to December 31, 2022, the payables turnover ratio ranged between 8.50 and 13.99, showing some variability but generally staying within a reasonable range. However, there was a significant spike in the ratio to 24.41 on December 31, 2024, which may indicate that Saia Inc paid its suppliers at an exceptionally faster rate during that period.

It is important to consider the industry norms and company-specific factors when evaluating the payables turnover ratio. A very high or very low ratio may require further investigation into the company's payment policies, supplier relationships, and overall financial health.