Veracyte Inc (VCYT)

Payables turnover

Jun 30, 2025 Mar 31, 2025 Dec 31, 2024 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
Cost of revenue (ttm) US$ in thousands 156,616 154,864 156,218 146,858 137,618 128,663 118,573 110,358 108,756 104,098 101,582 97,633 93,268 85,710 74,400 62,705 51,432 41,615 41,455 40,387
Payables US$ in thousands 11,447 15,709 8,634 9,670 12,084 12,152 12,943 12,531 12,895 15,655 11,911 11,114 10,328 11,273 12,360 11,201 8,472 7,137 3,116 1,932
Payables turnover 13.68 9.86 18.09 15.19 11.39 10.59 9.16 8.81 8.43 6.65 8.53 8.78 9.03 7.60 6.02 5.60 6.07 5.83 13.30 20.90

June 30, 2025 calculation

Payables turnover = Cost of revenue (ttm) ÷ Payables
= $156,616K ÷ $11,447K
= 13.68

The analysis of Veracyte Inc’s payables turnover ratios from September 2020 through June 2025 reveals notable fluctuations and trends in the company's accounts payable management over this period.

Initially, the payables turnover was relatively high at 20.90 times as of September 30, 2020, indicating a rapid cycle in paying suppliers during that quarter. This high figure sharply declined by December 31, 2020, to 13.30, and further decreased significantly to 5.83 by March 31, 2021, suggesting a lengthening in the accounts payable period or a change in supplier payment practices.

Throughout 2021, the ratio remained relatively modest, fluctuating slightly around the 5.60 to 7.60 range, which may imply a more conservative or deliberate approach to managing supplier payments. Moving into 2022, there was an upward trend beginning with 8.78 in September 2022, peaking at 9.03 in June 2022 and reaching 8.81 by September 2022, indicating an acceleration in paying suppliers relative to previous periods.

This upward trend continued into late 2022 and early 2023, with ratios stabilizing around 8.53 to 8.81, before a notable increase occurred in March 2024, reaching 10.59, suggesting a quicker turnover in payables. The upward momentum persisted into the second quarter of 2024, with the ratio rising to 11.39, and further increasing to 15.19 in September 2024. The highest point in the observed period was in December 2024 at 18.09, reflecting a significant acceleration in the speed of paying suppliers.

Following this peak, the ratio declined somewhat in subsequent quarters, dropping to 9.86 by March 2025, then rising again to 13.68 in June 2025. These movements indicate ongoing adjustments in Veracyte Inc’s payment practices, with periods of both lengthening and shortening in the payable cycles.

Overall, the data exhibits a trend of initial high payables turnover, followed by a substantial decline, then a gradual and more consistent increase in recent years. The fluctuations suggest strategic shifts in payment policies, cash flow management, or supplier relationships, with recent periods demonstrating a tendency toward faster payment cycles.