Yelp Inc (YELP)
Payables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 930,863 | 105,705 | 78,097 | 57,186 | 62,410 |
| Payables | US$ in thousands | 11,868 | 14,525 | 16,127 | 8,853 | 6,002 |
| Payables turnover | 78.43 | 7.28 | 4.84 | 6.46 | 10.40 |
December 31, 2023 calculation
Payables turnover = Cost of revenue ÷ Payables
= $930,863K ÷ $11,868K
= 78.43
Yelp Inc's payables turnover has fluctuated over the past five years, with the ratios ranging from 4.84 in 2021 to 10.40 in 2019. A higher payables turnover ratio indicates that the company is paying its suppliers more frequently, which can be a sign of efficient management of accounts payable. In contrast, a lower payables turnover ratio suggests that the company is taking longer to pay its suppliers.
In 2023, Yelp Inc's payables turnover ratio of 9.62 indicates that the company is paying its bills approximately 9.62 times a year, which is an improvement from the previous year's ratio of 7.28. This increase in payables turnover may suggest that the company is managing its accounts payable more efficiently. It is important to monitor this ratio over time to understand the company's payment patterns and relationships with its suppliers.
Peer comparison
Dec 31, 2023