Synnex Corporation (SNX)

Payables turnover

		Feb 29, 2024	Nov 30, 2023	Aug 31, 2023	Feb 28, 2023	Nov 30, 2022	Aug 31, 2022	May 31, 2022	Feb 28, 2022	Nov 30, 2021	Aug 31, 2021	May 31, 2021	Feb 28, 2021	Nov 30, 2020	Aug 31, 2020	May 31, 2020	Feb 29, 2020	Nov 30, 2019	Aug 31, 2019	May 31, 2019	Feb 28, 2019
Cost of revenue (ttm)	US$ in thousands	53,469,300	55,688,000	56,739,400	58,064,100	58,443,600	57,923,500	48,377,840	39,591,490	29,724,640	20,808,720	20,923,160	19,591,820	18,783,290	29,227,810	24,788,493	21,168,860	17,912,755	6,684,145	10,591,072	14,889,315
Payables	US$ in thousands	12,372,700	13,347,300	12,485,200	12,997,700	13,989,000	13,719,000	12,521,100	12,193,300	12,034,900	3,222,280	3,503,040	3,116,100	3,751,240	3,655,220	3,405,320	2,589,890	3,149,440	2,932,050	2,764,920	2,187,710
Payables turnover		4.32	4.17	4.54	4.47	4.18	4.22	3.86	3.25	2.47	6.46	5.97	6.29	5.01	8.00	7.28	8.17	5.69	2.28	3.83	6.81

February 29, 2024 calculation

Payables turnover = Cost of revenue (ttm) ÷ Payables
= $53,469,300K ÷ $12,372,700K
= 4.32

Synnex Corporation's payables turnover ratio has shown some fluctuations over the past few periods. The payables turnover ratio indicates how efficiently the company is managing its accounts payable by comparing the cost of goods sold to average accounts payable. A higher turnover ratio suggests that the company is paying off its suppliers more quickly.

The payables turnover ratio for Feb 29, 2024, was 4.32, which was higher than the ratio for Nov 30, 2023, and Aug 31, 2023, indicating an improvement in managing accounts payable during this period. However, it is important to note that the ratio has been fluctuating around the 4-5 range over the past few periods, which suggests some inconsistency in the company's payment practices.

Overall, Synnex Corporation's payables turnover ratio over time indicates a moderate level of efficiency in managing accounts payable. The company should continue to monitor and potentially improve its payment processes to ensure consistent and effective management of its supplier obligations.