Tegna Inc (TGNA)
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 | 2,187,683 | 2,195,957 | 2,188,432 | 2,178,837 | 2,167,633 | 2,139,412 | 2,112,936 | 2,087,957 | 2,059,316 | 2,042,955 | 2,013,246 | 1,961,029 | 1,939,803 | 1,904,408 | 1,818,098 | 1,728,532 | 1,615,545 | 1,504,617 | 1,467,828 | 1,450,960 |
| Payables | US$ in thousands | 114,950 | 85,902 | 78,788 | 88,312 | 76,212 | 83,813 | 86,381 | 86,984 | 72,996 | 46,333 | 37,357 | 42,972 | 58,049 | 61,441 | 37,019 | 54,473 | 51,894 | 63,097 | 58,986 | 53,880 |
| Payables turnover | 19.03 | 25.56 | 27.78 | 24.67 | 28.44 | 25.53 | 24.46 | 24.00 | 28.21 | 44.09 | 53.89 | 45.64 | 33.42 | 31.00 | 49.11 | 31.73 | 31.13 | 23.85 | 24.88 | 26.93 |
December 31, 2023 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $2,187,683K ÷ $114,950K
= 19.03
TEGNA Inc's payables turnover ratio measures how efficiently the company is managing its trade payables. The ratio is calculated by dividing total purchases by average accounts payable.
Over the past eight quarters, TEGNA Inc's payables turnover has shown fluctuations. In Q4 2023, the payables turnover ratio was 14.95, which increased from the previous quarter but was lower than the ratios seen in Q2 and Q3 2023. The highest ratio recorded in recent quarters was in Q4 2022 at 22.22, indicating that the company was paying off its suppliers relatively faster during that period.
A high ratio generally suggests that the company is paying its suppliers quickly, which can be advantageous in terms of maintaining good relationships and potentially negotiating discounts. On the other hand, an extremely high ratio may indicate that the company is not utilizing its credit terms effectively.
In contrast, a low payables turnover ratio could imply that the company is taking a longer time to pay its suppliers, which may result in strained relationships or missed discounts. However, a lower ratio can also indicate that the company is effectively managing its cash flow by delaying payments.
Overall, it is essential for TEGNA Inc to monitor its payables turnover ratio regularly to ensure efficient management of its accounts payable and maintain healthy relationships with its suppliers while optimizing cash flow.
Peer comparison
Dec 31, 2023