Clear Secure Inc (YOU)
Payables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 417,110 | 446,630 | 278,334 |
| Payables | US$ in thousands | 11,781 | 7,951 | 8,808 |
| Payables turnover | 35.41 | 56.17 | 31.60 |
December 31, 2023 calculation
Payables turnover = Cost of revenue ÷ Payables
= $417,110K ÷ $11,781K
= 35.41
The payables turnover ratio for Clear Secure Inc has fluctuated over the past three years. In 2021, the company had a payables turnover of 31.60, which increased significantly to 56.17 in 2022, indicating that Clear Secure was able to pay off its accounts payable more frequently in 2022 compared to the previous year. However, in 2023, the payables turnover decreased to 35.41, suggesting that the company took slightly longer to pay off its accounts payable compared to the previous year.
Overall, Clear Secure Inc's payables turnover indicates the efficiency with which the company is managing its accounts payable obligations. A higher payables turnover ratio signifies that the company is paying its suppliers more quickly, which can be a positive sign of effective cash flow management. However, a significant increase or decrease in the ratio from year to year may warrant further investigation into the company's payment practices and relationships with suppliers.
Peer comparison
Dec 31, 2023