Scotts Miracle-Gro Company (SMG)
Payables turnover
| 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 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 3,446,000 | 3,542,700 | 3,415,800 | 4,084,500 | 4,256,800 | 4,302,600 | 4,435,600 | 4,066,500 | 4,169,800 | 4,272,700 | 4,380,700 | 4,267,900 | 3,900,000 | 3,621,800 | 3,290,600 | 3,007,000 | 2,877,200 | 2,828,600 | 2,850,100 | 2,735,800 |
| Payables | US$ in thousands | 332,500 | 271,200 | 365,700 | 415,500 | 366,800 | 422,600 | 291,000 | 507,500 | 427,700 | 609,400 | 467,900 | 549,900 | 498,900 | 391,000 | 310,500 | 324,700 | 309,400 | 214,200 | 222,600 | 298,700 |
| Payables turnover | 10.36 | 13.06 | 9.34 | 9.83 | 11.61 | 10.18 | 15.24 | 8.01 | 9.75 | 7.01 | 9.36 | 7.76 | 7.82 | 9.26 | 10.60 | 9.26 | 9.30 | 13.21 | 12.80 | 9.16 |
December 31, 2023 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $3,446,000K ÷ $332,500K
= 10.36
The payables turnover ratio for Scotts Miracle-Gro Company has shown fluctuations over the past few periods, indicating the efficiency with which the company manages its accounts payable. The ratio has ranged from as low as 7.01 to as high as 15.24.
A higher payables turnover ratio suggests that the company is paying off its suppliers more quickly, which can indicate good liquidity and strong vendor relationships. Conversely, a lower ratio may suggest that the company is taking longer to pay its suppliers, potentially signaling liquidity issues or strained relationships with vendors.
Overall, the company's payables turnover ratio has shown some volatility but has generally remained at levels that indicate the efficient management of its accounts payable, with some room for improvement in certain periods.
Peer comparison
Dec 31, 2023