Interface Inc (TILE)
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 | Jul 5, 2020 | Apr 5, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 1,076,841 | 790,959 | 810,643 | 818,428 | 880,063 | 1,186,696 | 1,171,058 | 1,125,178 | 1,101,848 | 1,048,619 | 765,256 | 504,828 | 387,904 | 129,500 | 432,888 | 742,281 | 904,337 | 924,737 | 922,489 | 613,396 |
| Payables | US$ in thousands | 62,912 | 75,602 | 69,835 | 85,640 | 78,264 | 83,617 | 92,578 | 86,975 | 85,924 | 72,517 | 82,393 | 72,029 | 58,687 | 63,781 | 64,894 | 68,695 | 75,687 | 72,505 | 67,643 | 72,994 |
| Payables turnover | 17.12 | 10.46 | 11.61 | 9.56 | 11.24 | 14.19 | 12.65 | 12.94 | 12.82 | 14.46 | 9.29 | 7.01 | 6.61 | 2.03 | 6.67 | 10.81 | 11.95 | 12.75 | 13.64 | 8.40 |
December 31, 2023 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $1,076,841K ÷ $62,912K
= 17.12
Interface Inc.'s payables turnover has shown a positive trend over the past eight quarters, indicating an improvement in how efficiently the company is managing its accounts payable. The payables turnover ratio measures how many times a company pays off its accounts payable obligations in a given period.
In Q4 2023, Interface Inc. achieved a payables turnover ratio of 13.04, the highest in the dataset, suggesting that the company is paying off its suppliers more frequently compared to the previous quarters. This can be a positive sign as it indicates strong liquidity and potentially good relationships with suppliers.
Compared to the same period last year, the payables turnover ratio has consistently increased, showing a steady improvement in the company's ability to manage its accounts payable effectively. This may be attributed to better cash flow management, negotiation of favorable payment terms with suppliers, or improvements in the company's working capital management.
Overall, the increasing trend in payables turnover ratio for Interface Inc. indicates that the company is becoming more efficient in handling its payables, which can lead to improved financial performance and stability in the long run.
Peer comparison
Dec 31, 2023