Starbucks Corporation (SBUX)
Payables turnover
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 13,461,800 | 13,066,900 | 12,100,300 | 10,839,100 | 9,780,300 |
| Payables | US$ in thousands | 1,595,500 | 1,544,300 | 1,441,400 | 1,211,600 | 997,900 |
| Payables turnover | 8.44 | 8.46 | 8.39 | 8.95 | 9.80 |
September 30, 2024 calculation
Payables turnover = Cost of revenue ÷ Payables
= $13,461,800K ÷ $1,595,500K
= 8.44
The payables turnover ratio for Starbucks Corporation has exhibited a declining trend over the past five years. The ratio decreased from 9.80 in September 2020 to 8.44 in September 2024. This suggests that the company is taking longer to pay its suppliers compared to previous years. A lower payables turnover ratio could indicate potential liquidity issues or strained supplier relationships. It is important for Starbucks to monitor and manage its payables effectively to maintain healthy working capital levels and supplier partnerships.
Peer comparison
Sep 30, 2024
Company name
Symbol
Payables turnover
Starbucks Corporation
SBUX
8.44
Shake Shack Inc
SHAK
24.99
The Wendy’s Co
WEN
43.41