Intuit Inc. (NASDAQ:INTU)

Receivables Turnover

The receivables turnover ratio exhibits notable fluctuations over the analyzed periods. Initial values are high, reaching above 79 in the earliest quarter, but soon stabilize around the mid-teens to high twenties range. Cyclical patterns appear, with substantial increases typically followed by declines, for example, spikes near the third quarter of each year. This suggests variability in the efficiency of receivables collection, with periods of rapid turnover followed by slower collection cycles.

Payables Turnover

The payables turnover ratio starts relatively low and generally demonstrates an upward trend over time. While some quarters show dips in the ratio, overall, the values increase from lows around 2.3 to highs approaching 5.8. This indicates improving efficiency in paying off suppliers, with the company seemingly accelerating its payment processes in recent periods.

Working Capital Turnover

The working capital turnover ratio is characterized by high variability and some pronounced spikes, especially one significant peak exceeding 21 in early 2022. Apart from exceptional values, the ratio mostly ranges between around 4 and 14, indicating fluctuating but generally improving utilization of working capital to generate sales. The sporadic very high pillars point to occasional exceptional operational efficiency or changes in working capital management.

Average Receivable Collection Period

The average receivable collection period inversely mirrors the behavior of the receivables turnover, with higher collection days corresponding to lower turnover ratios. The collection period varies between about 5 to 28 days, with a tendency toward shorter collection periods in mid-year quarters and longer periods at the start or end of calendar years. This suggests seasonal or cyclical factors influencing how quickly receivables are collected.

Average Payables Payment Period

The average payables payment period shows a decreasing trend over time, starting at 70 days and reaching as low as 63 days in the latest periods. It generally fluctuates between approximately 60 and 160 days, with the longest periods around early 2022. This decrease indicates the company is paying its suppliers faster over recent quarters, potentially reflecting improved liquidity or strategic supplier management.

Summary of Trends

Overall, the financial ratios highlight dynamic changes in working capital management. Receivables and payables turnover ratios depict alternating periods of acceleration and slowdown in collections and payments. The working capital turnover poses significant volatility but trends toward improved capital use efficiency. Shortening receivable collection periods paired with faster payables payment periods suggest enhanced cash flow management. Seasonal patterns seem apparent, with mid-year quarters often demonstrating improved performance metrics.

Net Revenue

The net revenue exhibits significant fluctuations over the observed periods, ranging from a low of approximately $1.3 billion to a high exceeding $7.7 billion. The data suggests a seasonal pattern with notable peaks typically occurring every four quarters, indicating strong quarterly variability. There is an overall trend of increasing revenue peaks and troughs over time, with the highest revenue recorded in late 2025. This may reflect growth in business operations, cyclical market demand, or successful revenue-generating activities. Periods of lower revenue generally follow quarters of peak revenue, consistent with cyclical business activity.

Accounts Receivable, Net

Accounts receivable values also fluctuate substantially across the quarters, with figures ranging from under $100 million to over $1 billion. The receivables show a pattern that somewhat mirrors the seasonal variation of net revenue but with some divergence in magnitude and timing. Several quarters show spikes in receivables that do not correspond directly to the highest revenue quarters, suggesting periods of extended credit or delayed collections. The general trend indicates increasing receivable balances over the years, which might raise considerations regarding credit management or collection efficiency.

Receivables Turnover Ratio

The receivables turnover ratio varies widely from single-digit values up to nearly 40, evidencing substantial volatility in the speed with which receivables are collected. Lower turnover ratios indicate slower collection periods, whereas higher ratios indicate more rapid collections. The turnover ratio shows a recurring cyclical pattern inversely related to accounts receivable balances; when receivables increase sharply, turnover decreases, and vice versa. The fluctuations within this ratio highlight dynamic credit terms or collection policies and may reflect changing credit risk or customer payment behaviors across quarters.

Overall Insights

Both net revenue and accounts receivable demonstrate strong seasonal and cyclical trends, likely driven by underlying market or operational factors impacting sales and credit policies. The recurring peaks in net revenue paired with corresponding variations in receivables and turnover suggest a business model sensitive to periodic demand spikes. The volatility in receivables turnover ratios highlights fluctuating efficiency in collections, warranting ongoing analysis to optimize working capital management. The upward trend in peak net revenues alongside increasing receivables levels could suggest growth strategies that include extending credit to support revenue expansion, with an associated need for vigilant receivables management.

The analysis of the financial data reveals several notable trends in the cost of revenue, accounts payable, and payables turnover over the observed periods.

Cost of Revenue

The cost of revenue exhibits fluctuating patterns with an overall trend of increase over time. Starting at 256 million USD in October 2020, the figure rises and falls across quarters but reaches a peak of 1,194 million USD in October 2025. Periods of significant increases occur notably between January 2024 and October 2024, as well as from July 2025 to October 2025. Despite some intermittent declines, the general movement shows growth, indicating potential expansion in operational scale or increased costs associated with revenue generation.

Accounts Payable

Accounts payable also show variable behavior with periods of both rises and declines. Beginning at 256 million USD in October 2020, payable amounts rise sharply to 900 million USD by April 2022, then fluctuate within the 600-1,000 million USD range in subsequent quarters. The highest recorded payable amount is 1,038 million USD in January 2025, signifying elevated short-term liabilities during certain periods. The volatility may reflect changes in procurement or payment cycles.

Payables Turnover

The payables turnover ratio displays considerable variability, reflecting shifts in how quickly the company is paying its suppliers. The ratio starts at 5.25 in October 2020, declines to the low 2-range in early 2021 and early 2022, and subsequently recovers to values above 4 in multiple quarters from late 2022 onward. The peak turnover is 5.83 in October 2025, suggesting faster payment to suppliers at that point. Lower turnover ratios in earlier periods may indicate slower payment processes or extended credit terms, while increases in the ratio suggest more efficient payables management or shortened credit terms.

Overall, the data suggest an expanding scale of business activity, mirrored by rising costs and liabilities with cyclical fluctuations. The management of accounts payable appears to have periods of adjustment impacting cash flow timing, as evidenced by changes in the payables turnover ratio. The most recent data indicate improved efficiency in paying suppliers alongside elevated costs and payables, which may reflect strategic working capital management in response to growth demands.

Working Capital

The working capital shows significant fluctuations over the periods analyzed. Initially, there is a sharp decline from 4499 million USD in October 2020 to 1417 million USD in January 2021, followed by a moderate recovery reaching 2615 million USD by April 2021. Subsequently, it decreases again and oscillates around lower values, with notable reductions in January 2022 (522 million USD) and October 2022 (894 million USD). Starting from April 2024, there is a visible upward trend, peaking at 4311 million USD in October 2025, though it declines slightly after that. The volatility suggests variable management of short-term assets and liabilities over the quarters.

Net Revenue

Net revenue exhibits a clear seasonal and growth pattern with considerable volatility. The values rise sharply within certain quarters, such as from 1576 million USD in January 2021 to 4173 million USD in April 2021, and again from January 2024 to October 2025 where revenue peaks at 7754 million USD. Despite some quarters with relatively moderate revenue figures, the overall trajectory indicates an upward trend with increasingly higher peaks. This pattern may reflect cyclical business activities and periods of heightened sales or service delivery.

Working Capital Turnover Ratio

The working capital turnover ratio varies greatly, indicating changes in how efficiently working capital supports revenue generation. Notably, the ratio spikes to 21.87 in January 2022, suggesting very efficient use of working capital during that period despite a concurrent low working capital balance. The turnover ratio generally remains elevated in late 2022 through early 2024, with values often exceeding 10, implying strong revenue generation relative to working capital. However, starting from late 2024, the ratio declines to lower values around 4 to 7, indicating a potential decrease in turnover efficiency as working capital increases.

Overall Insights

The data reveals a complex interaction between working capital and net revenue. Periods of low working capital often coincide with high turnover ratios, reflecting efficient capital use. Conversely, increases in working capital tend to accompany lower turnover ratios. Revenue growth appears strong and somewhat seasonal, with certain quarters consistently outperforming others. This cyclical behavior and volatility in working capital and turnover ratios may indicate strategic shifts in operational or financial management to balance liquidity and revenue optimization.

Receivables Turnover

The receivables turnover ratio exhibits a recurring cyclical pattern over the analyzed quarters, with notable peaks and troughs. Higher turnover values are observed consistently in the third and fourth quarters of each fiscal year, reaching peaks such as 79.16 in October 2020 and values around the mid-to-high 30s in subsequent years (e.g., 39.65 in October 2023 and 38.94 in October 2024). Conversely, the first and second quarters generally see lower turnover ratios, often falling between 12 and 25. This pattern suggests a seasonality effect where the company collects receivables more efficiently toward the end of each fiscal year.

Average Receivable Collection Period

The average receivable collection period inversely mirrors the receivables turnover, displaying longer collection times during the first and second quarters and shorter periods in the later quarters. Specifically, collection days often rise above 20 days in early quarters (e.g., 28 days in January 2022 and 24 days in January 2023) and drop to single-digit values during the third and fourth quarters (reaching as low as 5 days in October 2020 and around 9-11 days in recent years). This confirms the seasonal trend where receivables are collected more promptly toward the end of the year.

Overall Insights

The data indicate consistent seasonality in receivables management, potentially linked to business cycles, customer payment behaviors, or company credit policies that tighten collection efforts in certain periods. The substantial variance in turnover between quarters highlights fluctuating working capital dynamics, which could impact cash flow planning. The persistent relatively short collection periods in the third and fourth quarters represent periods of efficient receivables management, whereas the early quarters could warrant focused attention to reduce days sales outstanding and enhance cash inflows.

Payables Turnover Ratio

The payables turnover ratio demonstrates considerable fluctuation over the analyzed periods. Initially, a decline is noticeable from 5.25 to 2.56 within the first three quarters, indicating slower payments to suppliers or increased accounts payable. Subsequently, the ratio exhibits a general recovery trend with intermittent variations, reaching a peak at 5.83 in the final quarter. These fluctuations suggest periods of varying efficiency in the management of payables, with some quarters showing improved ability to pay suppliers promptly while others reflect slower turnover.

Average Payables Payment Period

The average payables payment period inversely mirrors the trends observed in the payables turnover ratio. Starting at 70 days, the period lengthens significantly to a peak of 158 days in early 2022, indicating extended payment durations and potentially delayed settlements with creditors. Thereafter, this payment period gradually shortens with some variability, dropping to 63 days by the last quarter. This pattern suggests improved payment efficiency towards the end of the timeline, aligning with the increases in the payables turnover ratio.

Overall Trend and Insights

Across the entire timeline, there is an observable oscillation in the working capital management related to payables. The initial phase is characterized by a declining turnover ratio and increasing payment period, potentially reflecting a strategic extension of payment terms or cash flow management challenges. The latter periods display a reversal with improved turnover and reduced payment period, indicative of strengthened payment discipline and possibly enhanced supplier relationships. The variability implies that the company actively manages its payables with adjustments responding to internal cash flow needs or external market conditions.