Somnigroup International Inc. (SGI)
Payables turnover
| 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 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 2,724,000 | 2,717,300 | 2,765,300 | 2,796,700 | 2,837,200 | 2,876,000 | 2,863,100 | 2,871,600 | 2,928,500 | 2,967,500 | 2,903,900 | 2,772,100 | 2,588,800 | 2,409,700 | 2,158,100 | 2,038,500 | 1,951,600 | 1,809,900 | 1,820,000 | 1,763,800 |
| Payables | US$ in thousands | 346,800 | 353,300 | 345,200 | 311,300 | 361,700 | 362,600 | 368,100 | 359,800 | 440,200 | 432,600 | 462,300 | 432,000 | 463,400 | 346,700 | 278,600 | 324,100 | 330,900 | 247,100 | 265,300 | 251,700 |
| Payables turnover | 7.85 | 7.69 | 8.01 | 8.98 | 7.84 | 7.93 | 7.78 | 7.98 | 6.65 | 6.86 | 6.28 | 6.42 | 5.59 | 6.95 | 7.75 | 6.29 | 5.90 | 7.32 | 6.86 | 7.01 |
September 30, 2024 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $2,724,000K ÷ $346,800K
= 7.85
Somnigroup International Inc.'s payables turnover ratio has fluctuated over the periods analyzed. The payables turnover ratio indicates how efficiently the company is managing its short-term liabilities with its suppliers. A higher payables turnover ratio suggests the company is paying its suppliers more quickly.
From December 31, 2019, to September 30, 2021, the payables turnover ratio generally increased from 7.01 to 7.75, indicating an improvement in the efficiency of paying suppliers. However, from December 31, 2021, to September 30, 2024, the ratio fluctuated between 5.59 and 8.01, showing some inconsistency in managing payables during these periods.
Overall, the average payables turnover ratio over the periods analyzed seems to be relatively stable, with the ratio hovering around 7. This indicates that Somnigroup International Inc. has been managing its accounts payable effectively, maintaining a balance between timely payments to suppliers and optimizing its cash flow. However, further analysis of the company's payment policies and supplier relationships could provide more insights into its overall financial health and operational efficiency.
Peer comparison
Sep 30, 2024