Skyline Corporation (SKY)
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 | 2,235,115 | 2,166,172 | 2,029,374 | 1,862,618 | 1,756,689 | 1,733,668 | 1,936,701 | 2,098,894 | 2,197,271 | 2,159,394 | 1,998,098 | 1,881,948 | 1,760,414 | 1,621,035 | 1,465,143 | 1,272,015 | 1,161,736 | 1,175,914 | 1,203,773 | 1,291,253 |
| Payables | US$ in thousands | 44,695 | 64,260 | 61,448 | 50,820 | 43,810 | 50,829 | 47,218 | 44,702 | 39,352 | 70,981 | 76,133 | 92,159 | 44,200 | 57,694 | 66,079 | 57,214 | 38,603 | 44,186 | 32,340 | 38,703 |
| Payables turnover | 50.01 | 33.71 | 33.03 | 36.65 | 40.10 | 34.11 | 41.02 | 46.95 | 55.84 | 30.42 | 26.24 | 20.42 | 39.83 | 28.10 | 22.17 | 22.23 | 30.09 | 26.61 | 37.22 | 33.36 |
December 31, 2024 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $2,235,115K ÷ $44,695K
= 50.01
The payables turnover ratio, a measure of how efficiently a company manages its accounts payable, shows how many times a company pays off its average accounts payable balance in a specific period.
Analyzing the payables turnover for Skyline Corporation from March 31, 2020, to December 31, 2024, we observe fluctuations in the ratio. The ratio started at 33.36 on March 31, 2020, indicating that Skyline was paying off its accounts payable approximately 33.36 times during that year.
The ratio then increased to 37.22 by June 30, 2020, suggesting an improvement in the efficiency of payables management. However, the ratio decreased to 22.23 by March 31, 2021, hitting a low point in the period under review. This might signal a slower pace of paying off the accounts payable or a build-up of payables.
From there, the trend fluctuated, with ups and downs in the ratio, reaching a peak of 55.84 on December 31, 2022. This peak indicates a significant improvement in payables turnover, where the company was paying off its accounts payable almost 56 times during that year.
Subsequently, the ratio decreased to 33.71 on September 30, 2024, suggesting a moderate rebound in payables turnover efficiency after the peak observed in December 2022. The ratio settled at 50.01 by December 31, 2024, showing a relatively high turnover rate compared to previous periods.
Overall, the analysis of Skyline Corporation's payables turnover ratio depicts fluctuations in the efficiency of managing accounts payable over the years, signifying changes in the company's payment practices and relationships with its suppliers.
Peer comparison
Dec 31, 2024