VF Corporation (VFC)

Payables turnover

		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	Jun 30, 2020
Cost of revenue (ttm)	US$ in thousands	4,471,596	4,697,673	4,786,803	4,948,443	5,018,069	5,173,759	5,438,939	5,458,089	5,515,800	5,493,000	5,492,550	5,473,820	5,386,391	5,264,001	5,016,421	4,819,381	4,370,781	4,120,647	4,276,087	4,590,987
Payables	US$ in thousands	789,570	1,007,810	1,134,640	1,157,760	817,128	974,844	992,911	1,282,310	936,319	906,340	1,022,410	1,022,760	562,992	559,716	534,365	534,803	463,208	412,324	450,109	348,932
Payables turnover		5.66	4.66	4.22	4.27	6.14	5.31	5.48	4.26	5.89	6.06	5.37	5.35	9.57	9.40	9.39	9.01	9.44	9.99	9.50	13.16

March 31, 2025 calculation

Payables turnover = Cost of revenue (ttm) ÷ Payables
= $4,471,596K ÷ $789,570K
= 5.66

The payables turnover ratio for VF Corporation has been fluctuating over the years based on the provided data. The payables turnover ratio indicates how many times a company pays off its accounts payable during a certain period.

From June 30, 2020, to December 31, 2021, the payables turnover ratio ranged between 9.01 and 13.16. This indicates that VF Corporation was able to efficiently manage its accounts payable during this period.

However, from June 30, 2022, to March 31, 2025, the payables turnover ratio declined significantly, dropping to as low as 4.21. This suggests that the company took longer to pay off its accounts payable during this period.

The decreasing trend in the payables turnover ratio could imply that VF Corporation may be facing challenges in managing its payables effectively. It is essential for the company to monitor and improve its payables turnover ratio to ensure healthy relationships with suppliers and maintain liquidity.