US Foods Holding Corp (USFD)
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 | 33,662,000 | 33,311,000 | 33,134,000 | 33,120,000 | 33,781,000 | 32,952,000 | 31,998,000 | 30,861,000 | 29,369,000 | 27,920,000 | 25,947,000 | 23,038,000 | 23,238,000 | 22,621,000 | 23,192,000 | 24,809,000 | 24,304,000 | 23,547,000 | 23,172,940 | 22,877,460 |
| Payables | US$ in thousands | 2,051,000 | 2,249,000 | 2,137,000 | 2,134,000 | 1,855,000 | 2,180,000 | 2,062,000 | 2,077,000 | 1,662,000 | 1,963,000 | 1,904,000 | 1,733,000 | 1,218,000 | 1,543,000 | 1,914,000 | 1,299,000 | 1,460,000 | 1,645,000 | 1,535,000 | 1,534,000 |
| Payables turnover | 16.41 | 14.81 | 15.50 | 15.52 | 18.21 | 15.12 | 15.52 | 14.86 | 17.67 | 14.22 | 13.63 | 13.29 | 19.08 | 14.66 | 12.12 | 19.10 | 16.65 | 14.31 | 15.10 | 14.91 |
December 31, 2023 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $33,662,000K ÷ $2,051,000K
= 16.41
The payables turnover ratio for US Foods Holding Corp has ranged from 12.12 to 19.10 over the past 5 years. The ratio indicates how efficiently the company is managing its accounts payable by measuring how many times the company pays off its suppliers during a certain time period. A higher payables turnover ratio suggests that the company is paying off its creditors quickly, which can be beneficial as it may indicate strong supplier relationships and the ability to take advantage of early payment discounts.
US Foods Holding Corp's payables turnover ratio has been relatively stable over the analyzed period, fluctuating within a moderate range. The variations in the ratio may signify changes in the company's payment terms with suppliers, shifts in purchasing patterns, or alterations in the company's cash management practices. It would be important to further investigate the specific reasons behind these fluctuations to understand the company's overall financial health and operational efficiency in managing its accounts payable.
Peer comparison
Dec 31, 2023