UGI Corporation (UGI)
Payables turnover
| 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 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 5,905,000 | 5,703,000 | 6,784,000 | 7,898,000 | 9,820,000 | 10,250,000 | 9,793,000 | 9,081,000 | 8,061,000 | 6,503,000 | 5,662,000 | 5,428,000 | 4,116,000 | 5,001,900 | 4,945,600 | 4,429,000 | 4,133,400 | 3,950,800 | 3,818,100 | 2,560,200 |
| Payables | US$ in thousands | 544,000 | 462,000 | 579,000 | 741,000 | 613,000 | 541,000 | 757,000 | 1,014,000 | 891,000 | 843,000 | 915,000 | 973,000 | 837,000 | 579,000 | 627,000 | 637,000 | 475,000 | 382,000 | 465,000 | 598,000 |
| Payables turnover | 10.85 | 12.34 | 11.72 | 10.66 | 16.02 | 18.95 | 12.94 | 8.96 | 9.05 | 7.71 | 6.19 | 5.58 | 4.92 | 8.64 | 7.89 | 6.95 | 8.70 | 10.34 | 8.21 | 4.28 |
September 30, 2024 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $5,905,000K ÷ $544,000K
= 10.85
UGI Corporation's payables turnover has shown fluctuating trends over the past eight quarters. The payables turnover ratio indicates how efficiently the company is managing its trade credit obligations. A higher payables turnover ratio implies that the company is settling its payables more frequently.
In recent quarters, UGI's payables turnover has ranged between 4.28 and 18.95. The highest turnover ratio in the last eight quarters was 18.95 in June 2023, indicating that the company was able to convert its accounts payable into cash nearly 19 times during that period. This suggests a strong efficiency in managing trade credit obligations during that quarter.
On the other hand, the lowest turnover ratio was 4.28 in December 2019, indicating a slower rate of converting payables into cash during that period. However, it's essential to note that a single quarter's ratio may not provide a complete picture, and it's crucial to analyze trends over multiple periods.
Overall, UGI Corporation's payables turnover has generally been on an upward trend over the past eight quarters, indicating improving efficiency in managing its accounts payable. It is essential for the company to maintain a balance in managing trade credit obligations to ensure healthy supplier relationships while optimizing cash flow management.
Peer comparison
Sep 30, 2024