YETI Holdings Inc (YETI)
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 | 715,527 | 791,922 | 820,761 | 833,979 | 831,821 | 739,176 | 683,667 | 631,274 | 594,876 | 557,484 | 522,471 | 483,334 | 462,918 | 447,262 | 435,684 | 441,648 | 438,420 | 416,503 | ||
| Payables | US$ in thousands | 190,392 | 179,086 | 143,435 | 101,703 | 140,818 | 122,813 | 204,091 | 167,409 | 191,319 | 166,080 | 145,683 | 120,044 | 123,621 | 101,850 | 41,447 | 74,369 | 83,823 | 105,514 | 101,538 | 78,225 |
| Payables turnover | 3.76 | 4.42 | 5.72 | 8.20 | 5.91 | 6.02 | 3.35 | 3.77 | 3.11 | 3.36 | 3.59 | 4.03 | 3.74 | 4.39 | 10.51 | 5.94 | 5.23 | 3.95 |
December 31, 2023 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $715,527K ÷ $190,392K
= 3.76
YETI Holdings Inc's payables turnover ratio has exhibited fluctuations over the past few quarters. The payables turnover ratio measures how efficiently a company pays its suppliers. A higher ratio indicates that the company is paying its suppliers more frequently.
In this case, the payables turnover ratio has ranged from a low of 3.11 in March 2021 to a high of 10.51 in June 2020. The ratio has shown an increasing trend from 2020 to early 2023, indicating that YETI was paying its suppliers more frequently during this period.
However, there was a notable decrease in the ratio in the most recent quarter, December 2023, where the ratio dropped to 3.76 from the previous quarter's 4.42. This decline may suggest that YETI took longer to pay its suppliers in the last quarter compared to the previous quarter.
It is important to note that while a high payables turnover ratio generally indicates good liquidity and efficient payments, an extremely high ratio could also imply that the company is not utilizing credit terms effectively or pressuring suppliers for early payments. Conversely, a low ratio might suggest cash flow issues or strained relationships with suppliers.
The analysis of YETI's payables turnover ratio highlights the importance of monitoring payment practices and relationships with suppliers to ensure a healthy and sustainable financial position.
Peer comparison
Dec 31, 2023