Analysis of Short-term (Operating) Activity Ratios
Quarterly Data
Activity ratios measure how efficiently a company performs day-to-day tasks, such us the collection of receivables and management of inventory.
Short-term Activity Ratios (Summary)
Starbucks Corp., short-term (operating) activity ratios (quarterly data)
Based on: 10-Q (reporting date: 2025-06-29), 10-Q (reporting date: 2025-03-30), 10-Q (reporting date: 2024-12-29), 10-K (reporting date: 2024-09-29), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-Q (reporting date: 2023-12-31), 10-K (reporting date: 2023-10-01), 10-Q (reporting date: 2023-07-02), 10-Q (reporting date: 2023-04-02), 10-Q (reporting date: 2023-01-01), 10-K (reporting date: 2022-10-02), 10-Q (reporting date: 2022-07-03), 10-Q (reporting date: 2022-04-03), 10-Q (reporting date: 2022-01-02), 10-K (reporting date: 2021-10-03), 10-Q (reporting date: 2021-06-27), 10-Q (reporting date: 2021-03-28), 10-Q (reporting date: 2020-12-27), 10-K (reporting date: 2020-09-27), 10-Q (reporting date: 2020-06-28), 10-Q (reporting date: 2020-03-29), 10-Q (reporting date: 2019-12-29), 10-K (reporting date: 2019-09-29), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-30).
The financial ratios and operating cycle metrics indicate several notable patterns and fluctuations over the analyzed periods.
- Inventory Turnover
- The inventory turnover ratio demonstrates a moderate decline from the initial recorded period of 12.44, dipping to a low of 10.97 in mid-2021, followed by a recovery and subsequent growth peaking at 16.09 in mid-2023. Toward the most recent quarters, the ratio decreases again to around 12.4. This suggests a period of inventory management challenges and recovery, with faster inventory turnover indicating increased efficiency in later periods before a slight slowdown.
- Receivables Turnover
- The receivables turnover ratio shows overall stability with minor fluctuations; it started around 30.15, dipped marginally to the high 20s during 2019-2020, then gradually improved back to the low 30s by 2023. This stability reflects consistent management of receivables collection despite external disruptions, contributing to steady operational liquidity.
- Payables Turnover
- The payables turnover ratio reveals increased payment velocity from 15.99 to over 21 by late 2019, suggesting quicker payables processing. However, in subsequent years, the ratio stabilizes around the 16 to 18 range, with a gradual decline toward 14.25 - 14.83 in the latest periods. This decrease could indicate a lengthening of payment terms or slower payments to suppliers.
- Working Capital Turnover
- Data is sparse for this ratio, but the spike to 205.59 during one quarter contrasts sharply with values near 18 to 50 in other periods. This anomaly likely reflects a one-time accounting or operational event, making trend analysis difficult. Excluding the anomaly, the turnover fluctuates moderately, indicating variability in how efficiently working capital is utilized.
- Average Inventory Processing Period
- Inventory processing days vary modestly generally between 23 and 33 days, with an increase from around 29 days to 33 days during early 2022, signifying slower inventory movement. A subsequent decrease to the mid-20s suggests improved inventory turnover pace over recent quarters.
- Average Receivable Collection Period
- This period remains fairly steady between 11 to 14 days across all quarters, indicating robust and consistent receivables management with minimal delays in cash collections.
- Operating Cycle
- The operating cycle length fluctuates modestly from 35 to 46 days, peaking during early 2022. This suggests the total time from inventory acquisition to cash collection extended notably at that time but has since shortened toward the recent quarters, reflecting improved operational efficiency.
- Average Payables Payment Period
- The payables payment period generally decreased from 23 days down to 17 days by late 2019, implying faster payments to suppliers. Post-2020, it increased again, ranging between 20 and 26 days, which may indicate altered payment strategies or responses to liquidity considerations.
- Cash Conversion Cycle
- The cash conversion cycle varies between 13 and 27 days, with the highest values around 2020. This pattern highlights a temporary elongation of the cash conversion process, potentially reflecting pandemic-related impacts. In recent periods, the cycle shortens to around 13 to 16 days, indicating improved liquidity management and quicker turnover from cash outlay to cash inflow.
Overall, the data reveals that inventory and cash flow related cycles experienced moderate fluctuations with periods of constraint and recovery. While receivables management remained stable, changes in payables turnover and payment periods point to strategic management of supplier liabilities. The recent trends suggest improvements in operational and working capital efficiency following earlier disruptions.
Turnover Ratios
Average No. Days
Inventory Turnover
Starbucks Corp., inventory turnover calculation (quarterly data)
| Jun 29, 2025 | Mar 30, 2025 | Dec 29, 2024 | Sep 29, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Oct 1, 2023 | Jul 2, 2023 | Apr 2, 2023 | Jan 1, 2023 | Oct 2, 2022 | Jul 3, 2022 | Apr 3, 2022 | Jan 2, 2022 | Oct 3, 2021 | Jun 27, 2021 | Mar 28, 2021 | Dec 27, 2020 | Sep 27, 2020 | Jun 28, 2020 | Mar 29, 2020 | Dec 29, 2019 | Sep 29, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 30, 2018 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||||||||||||||||||||||||||||||
| Cost of revenues | 7,300,300) | 6,913,600) | 7,096,700) | 6,692,200) | 6,570,000) | 6,372,800) | 6,832,100) | 6,654,400) | 6,561,800) | 6,437,700) | 6,475,500) | 6,255,700) | 5,916,100) | 5,780,500) | 5,926,900) | 5,764,600) | 5,172,900) | 4,815,700) | 4,916,400) | 4,660,100) | 4,021,800) | 4,719,100) | 5,057,900) | 4,888,300) | 4,827,100) | 4,553,400) | 4,751,700) | ||||||||
| Inventories | 2,259,200) | 2,047,300) | 1,731,600) | 1,777,300) | 1,854,700) | 1,744,000) | 1,646,300) | 1,806,400) | 1,987,000) | 2,000,600) | 2,088,100) | 2,176,600) | 2,132,900) | 1,920,000) | 1,637,100) | 1,603,900) | 1,548,200) | 1,503,600) | 1,471,500) | 1,551,400) | 1,583,800) | 1,492,200) | 1,408,700) | 1,529,400) | 1,517,200) | 1,443,000) | 1,354,600) | ||||||||
| Short-term Activity Ratio | |||||||||||||||||||||||||||||||||||
| Inventory turnover1 | 12.40 | 13.32 | 15.44 | 14.89 | 14.25 | 15.15 | 16.09 | 14.46 | 12.95 | 12.54 | 11.70 | 10.97 | 10.97 | 11.79 | 13.24 | 12.89 | 12.64 | 12.25 | 12.45 | 11.90 | 11.80 | 13.06 | 13.72 | 12.44 | — | — | — | ||||||||
| Benchmarks | |||||||||||||||||||||||||||||||||||
| Inventory Turnover, Competitors2 | |||||||||||||||||||||||||||||||||||
| Chipotle Mexican Grill Inc. | — | 212.10 | 204.36 | 169.51 | 161.15 | 218.61 | 197.22 | 185.34 | 175.86 | 191.68 | 194.58 | 184.27 | 191.96 | 214.37 | 203.97 | 177.91 | 195.78 | 213.29 | 211.26 | 186.94 | — | — | — | — | — | — | — | ||||||||
| McDonald’s Corp. | — | 148.42 | 159.98 | 148.84 | 156.14 | 180.84 | 181.22 | 155.76 | 168.52 | 146.30 | 142.62 | 141.94 | 175.32 | 183.32 | 165.10 | 144.74 | 156.70 | 159.38 | 155.54 | 136.62 | — | — | — | — | — | — | — | ||||||||
Based on: 10-Q (reporting date: 2025-06-29), 10-Q (reporting date: 2025-03-30), 10-Q (reporting date: 2024-12-29), 10-K (reporting date: 2024-09-29), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-Q (reporting date: 2023-12-31), 10-K (reporting date: 2023-10-01), 10-Q (reporting date: 2023-07-02), 10-Q (reporting date: 2023-04-02), 10-Q (reporting date: 2023-01-01), 10-K (reporting date: 2022-10-02), 10-Q (reporting date: 2022-07-03), 10-Q (reporting date: 2022-04-03), 10-Q (reporting date: 2022-01-02), 10-K (reporting date: 2021-10-03), 10-Q (reporting date: 2021-06-27), 10-Q (reporting date: 2021-03-28), 10-Q (reporting date: 2020-12-27), 10-K (reporting date: 2020-09-27), 10-Q (reporting date: 2020-06-28), 10-Q (reporting date: 2020-03-29), 10-Q (reporting date: 2019-12-29), 10-K (reporting date: 2019-09-29), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-30).
1 Q3 2025 Calculation
Inventory turnover
= (Cost of revenuesQ3 2025
+ Cost of revenuesQ2 2025
+ Cost of revenuesQ1 2025
+ Cost of revenuesQ4 2024)
÷ Inventories
= (7,300,300 + 6,913,600 + 7,096,700 + 6,692,200)
÷ 2,259,200 = 12.40
2 Click competitor name to see calculations.
The cost of revenues displays a fluctuating pattern throughout the analyzed periods. Initially, there is a general increase from late 2018 through to early 2020, reaching a peak before a significant decline is observed around mid-2020. This decline corresponds with external disruptions during that timeframe. Following this trough, the cost of revenues steadily rises again, surpassing previous peak values by the end of 2024 and into mid-2025, indicating increased operational activity or cost pressures.
Inventories follow a somewhat cyclical trend with periods of accumulation and reduction. The levels generally rise from late 2018, achieving notable increases around mid-2022 to early 2023. Post this period, inventories decrease moderately, with some volatility, before rising again towards mid-2025. This variation suggests adjustments in stock management in response to demand or supply chain conditions. The inventory values reflect strategic stockbuilding as well as inventory drawdowns over time.
Inventory turnover ratios are available from mid-2019 onward and reveal insights into the efficiency of inventory management. The ratio starts at a relatively high level, indicating good turnover initially. It then decreases gradually from late 2021 through early 2023, pointing to slower movement of inventory during this period. However, turnover improves significantly during late 2023 into early 2024, reaching its highest noted levels. After this peak, the ratio declines again towards mid-2025. These fluctuations suggest varying operational efficiency and demand cycles impacting how quickly inventory is sold or used.
Overall, the financial data reflects dynamic operational conditions with periods of cost containment and inventory management adjustments in response to external and internal factors. The increasing trend in cost of revenues post-2020, alongside fluctuating inventory levels and turnover rates, underscores ongoing efforts to balance sales growth with inventory efficiency.
- Cost of Revenues
- Initial increase through 2019, dip during mid-2020, followed by steady increase surpassing prior peaks by 2024-2025.
- Inventories
- Gradual rise from 2018, notable peaks around 2022-2023, moderate declines and rebounds thereafter.
- Inventory Turnover
- High turnover early on (2019-2020), decline through 2021-early 2023, strong improvement late 2023-early 2024, subsequent decline by mid-2025.
Receivables Turnover
Starbucks Corp., receivables turnover calculation (quarterly data)
| Jun 29, 2025 | Mar 30, 2025 | Dec 29, 2024 | Sep 29, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Oct 1, 2023 | Jul 2, 2023 | Apr 2, 2023 | Jan 1, 2023 | Oct 2, 2022 | Jul 3, 2022 | Apr 3, 2022 | Jan 2, 2022 | Oct 3, 2021 | Jun 27, 2021 | Mar 28, 2021 | Dec 27, 2020 | Sep 27, 2020 | Jun 28, 2020 | Mar 29, 2020 | Dec 29, 2019 | Sep 29, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 30, 2018 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||||||||||||||||||||||||||||||
| Net revenues | 9,456,000) | 8,761,600) | 9,397,800) | 9,074,000) | 9,113,900) | 8,563,000) | 9,425,300) | 9,373,600) | 9,168,300) | 8,719,800) | 8,713,900) | 8,414,200) | 8,150,100) | 7,635,600) | 8,050,400) | 8,146,700) | 7,496,500) | 6,668,000) | 6,749,400) | 6,203,100) | 4,222,100) | 5,995,700) | 7,097,100) | 6,747,000) | 6,823,000) | 6,305,900) | 6,632,700) | ||||||||
| Accounts receivable, net | 1,242,600) | 1,154,700) | 1,241,500) | 1,213,800) | 1,146,000) | 1,110,300) | 1,165,100) | 1,184,100) | 1,140,200) | 1,185,800) | 1,162,900) | 1,175,500) | 1,146,100) | 1,001,900) | 1,031,100) | 940,000) | 911,200) | 880,200) | 888,000) | 883,400) | 881,100) | 941,000) | 908,100) | 879,200) | 790,600) | 703,600) | 721,400) | ||||||||
| Short-term Activity Ratio | |||||||||||||||||||||||||||||||||||
| Receivables turnover1 | 29.53 | 31.48 | 29.12 | 29.80 | 31.83 | 32.90 | 31.49 | 30.38 | 30.71 | 28.67 | 28.30 | 27.44 | 27.91 | 31.27 | 29.45 | 30.92 | 29.76 | 27.09 | 26.09 | 26.62 | 27.31 | 28.33 | 29.70 | 30.15 | — | — | — | ||||||||
| Benchmarks | |||||||||||||||||||||||||||||||||||
| Receivables Turnover, Competitors2 | |||||||||||||||||||||||||||||||||||
| Airbnb Inc. | — | 62.26 | 64.55 | 75.52 | 61.94 | 60.03 | 58.52 | 48.38 | 46.60 | 41.69 | 47.07 | 52.17 | 53.27 | 43.30 | 53.74 | 53.67 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Booking Holdings Inc. | — | 5.73 | 7.32 | 7.42 | 6.32 | 5.87 | 6.68 | 6.57 | 5.98 | 6.90 | 8.87 | 7.67 | 7.01 | 6.51 | 7.77 | 8.07 | 5.93 | 5.57 | 9.64 | 12.85 | — | — | — | — | — | — | — | ||||||||
| Chipotle Mexican Grill Inc. | — | 110.26 | 113.07 | 78.59 | 117.86 | 109.32 | 113.59 | 85.44 | 134.08 | 152.24 | 136.37 | 80.79 | 118.06 | 97.41 | 87.64 | 75.77 | 94.54 | 90.40 | 92.26 | 57.27 | — | — | — | — | — | — | — | ||||||||
| DoorDash, Inc. | — | 14.16 | 14.37 | 14.65 | 16.32 | 16.43 | 16.69 | 16.20 | 19.54 | 20.07 | 18.75 | 16.46 | 18.66 | 16.30 | 16.41 | 14.01 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| McDonald’s Corp. | — | 3.75 | 4.00 | 4.10 | 4.04 | 4.10 | 4.41 | 3.92 | 4.22 | 4.12 | 4.18 | 4.14 | 4.80 | 5.20 | 5.93 | 5.23 | 5.19 | 5.07 | 4.77 | 3.86 | — | — | — | — | — | — | — | ||||||||
Based on: 10-Q (reporting date: 2025-06-29), 10-Q (reporting date: 2025-03-30), 10-Q (reporting date: 2024-12-29), 10-K (reporting date: 2024-09-29), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-Q (reporting date: 2023-12-31), 10-K (reporting date: 2023-10-01), 10-Q (reporting date: 2023-07-02), 10-Q (reporting date: 2023-04-02), 10-Q (reporting date: 2023-01-01), 10-K (reporting date: 2022-10-02), 10-Q (reporting date: 2022-07-03), 10-Q (reporting date: 2022-04-03), 10-Q (reporting date: 2022-01-02), 10-K (reporting date: 2021-10-03), 10-Q (reporting date: 2021-06-27), 10-Q (reporting date: 2021-03-28), 10-Q (reporting date: 2020-12-27), 10-K (reporting date: 2020-09-27), 10-Q (reporting date: 2020-06-28), 10-Q (reporting date: 2020-03-29), 10-Q (reporting date: 2019-12-29), 10-K (reporting date: 2019-09-29), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-30).
1 Q3 2025 Calculation
Receivables turnover
= (Net revenuesQ3 2025
+ Net revenuesQ2 2025
+ Net revenuesQ1 2025
+ Net revenuesQ4 2024)
÷ Accounts receivable, net
= (9,456,000 + 8,761,600 + 9,397,800 + 9,074,000)
÷ 1,242,600 = 29.53
2 Click competitor name to see calculations.
The net revenues demonstrate a general upward trajectory over the presented quarters, with fluctuations evident during the specified timeframe. Beginning at approximately 6.63 billion USD, revenues declined moderately in the first quarter of 2019 and then rebounded slightly in subsequent quarters until reaching a notable low in the second quarter of 2020 at around 4.22 billion USD. This dip aligns temporally with the global economic impact observed during early 2020. From the third quarter of 2020 onward, a recovery trend is visible, with revenues steadily increasing and peaking above 9.4 billion USD on several occasions in 2023 and 2024, indicating a robust post-downturn recovery and consistent sales growth.
The accounts receivable, net, follows a generally increasing pattern over the periods analyzed. Starting at approximately 721 million USD, the balances increase gradually with occasional minor dips. Notable increments occur in late 2021 and continue through 2022 and 2023, suggesting either an expansion in credit sales or a lengthening of collection periods. The highest accounts receivable figures approach 1.24 billion USD in mid-2025, marking a substantial rise from the initial values.
The receivables turnover ratio displays variability but maintains a range roughly between 26 and 33 throughout the observed quarters. A general declining trend can be observed during the early periods reaching lows around 26 in 2020, which might suggest slower collection efficiency or extended credit terms coinciding with the revenue dip during that time. However, from late 2020 into 2024, the ratio recovers and frequently exceeds 30, reaching as high as nearly 33. This indicates an improvement in collections efficiency or stricter credit management practices post-2020 downturn, aligning with the observed revenue recovery.
Overall, the financial data reveals a clear impact of external economic conditions around early 2020, reflected in both reduced revenues and altered accounts receivable dynamics. Subsequent quarters demonstrate a strong recovery in sales accompanied by increasing accounts receivable balances and improving turnover ratios. These trends suggest effective management of receivables and a return to growth in core business activities.
- Net Revenues
- Initial decline in early 2019, sharp dip in Q2 2020, followed by steady recovery and growth peaking above 9.4 billion USD.
- Accounts Receivable, Net
- Generally increasing trend with notable rises from 2021 onwards, reaching approximately 1.24 billion USD in mid-2025.
- Receivables Turnover Ratio
- Fluctuates between 26 and 33, shows decline around 2020, improving significantly after, indicating better collection efficiency post-2020.
Payables Turnover
Starbucks Corp., payables turnover calculation (quarterly data)
| Jun 29, 2025 | Mar 30, 2025 | Dec 29, 2024 | Sep 29, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Oct 1, 2023 | Jul 2, 2023 | Apr 2, 2023 | Jan 1, 2023 | Oct 2, 2022 | Jul 3, 2022 | Apr 3, 2022 | Jan 2, 2022 | Oct 3, 2021 | Jun 27, 2021 | Mar 28, 2021 | Dec 27, 2020 | Sep 27, 2020 | Jun 28, 2020 | Mar 29, 2020 | Dec 29, 2019 | Sep 29, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 30, 2018 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||||||||||||||||||||||||||||||
| Cost of revenues | 7,300,300) | 6,913,600) | 7,096,700) | 6,692,200) | 6,570,000) | 6,372,800) | 6,832,100) | 6,654,400) | 6,561,800) | 6,437,700) | 6,475,500) | 6,255,700) | 5,916,100) | 5,780,500) | 5,926,900) | 5,764,600) | 5,172,900) | 4,815,700) | 4,916,400) | 4,660,100) | 4,021,800) | 4,719,100) | 5,057,900) | 4,888,300) | 4,827,100) | 4,553,400) | 4,751,700) | ||||||||
| Accounts payable | 1,888,200) | 1,913,800) | 1,777,700) | 1,595,500) | 1,586,300) | 1,487,400) | 1,460,700) | 1,544,300) | 1,503,500) | 1,434,000) | 1,348,200) | 1,441,400) | 1,489,800) | 1,329,500) | 1,289,400) | 1,211,600) | 1,127,000) | 1,033,600) | 1,050,600) | 997,900) | 860,800) | 997,700) | 1,085,600) | 1,189,700) | 1,145,400) | 1,096,700) | 1,100,500) | ||||||||
| Short-term Activity Ratio | |||||||||||||||||||||||||||||||||||
| Payables turnover1 | 14.83 | 14.25 | 15.04 | 16.59 | 16.66 | 17.76 | 18.13 | 16.92 | 17.11 | 17.49 | 18.12 | 16.57 | 15.70 | 17.03 | 16.81 | 17.06 | 17.36 | 17.82 | 17.44 | 18.50 | 21.71 | 19.54 | 17.80 | 15.99 | — | — | — | ||||||||
| Benchmarks | |||||||||||||||||||||||||||||||||||
| Payables Turnover, Competitors2 | |||||||||||||||||||||||||||||||||||
| Booking Holdings Inc. | — | 5.85 | 7.32 | 6.21 | 5.67 | 5.70 | 6.73 | 6.14 | 6.83 | 9.11 | 8.52 | 6.82 | 7.52 | 6.54 | 8.32 | 6.91 | 6.29 | 6.98 | 9.91 | 9.25 | — | — | — | — | — | — | — | ||||||||
| Chipotle Mexican Grill Inc. | — | 39.61 | 38.90 | 39.38 | 36.30 | 38.20 | 38.02 | 36.86 | 34.04 | 42.59 | 36.87 | 35.61 | 38.60 | 39.82 | 36.05 | 35.79 | 32.44 | 38.26 | 34.83 | 40.52 | — | — | — | — | — | — | — | ||||||||
| DoorDash, Inc. | — | 17.23 | 17.36 | 17.26 | 27.84 | 31.29 | 23.89 | 21.25 | 29.36 | 23.98 | 18.72 | 22.85 | 13.48 | 13.83 | 12.50 | 14.52 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| McDonald’s Corp. | — | 9.74 | 9.25 | 8.10 | 8.93 | 8.77 | 8.91 | 7.46 | 9.30 | 9.50 | 9.05 | 7.53 | 9.57 | 10.74 | 11.40 | 7.99 | 10.16 | 10.42 | 10.52 | 9.42 | — | — | — | — | — | — | — | ||||||||
Based on: 10-Q (reporting date: 2025-06-29), 10-Q (reporting date: 2025-03-30), 10-Q (reporting date: 2024-12-29), 10-K (reporting date: 2024-09-29), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-Q (reporting date: 2023-12-31), 10-K (reporting date: 2023-10-01), 10-Q (reporting date: 2023-07-02), 10-Q (reporting date: 2023-04-02), 10-Q (reporting date: 2023-01-01), 10-K (reporting date: 2022-10-02), 10-Q (reporting date: 2022-07-03), 10-Q (reporting date: 2022-04-03), 10-Q (reporting date: 2022-01-02), 10-K (reporting date: 2021-10-03), 10-Q (reporting date: 2021-06-27), 10-Q (reporting date: 2021-03-28), 10-Q (reporting date: 2020-12-27), 10-K (reporting date: 2020-09-27), 10-Q (reporting date: 2020-06-28), 10-Q (reporting date: 2020-03-29), 10-Q (reporting date: 2019-12-29), 10-K (reporting date: 2019-09-29), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-30).
1 Q3 2025 Calculation
Payables turnover
= (Cost of revenuesQ3 2025
+ Cost of revenuesQ2 2025
+ Cost of revenuesQ1 2025
+ Cost of revenuesQ4 2024)
÷ Accounts payable
= (7,300,300 + 6,913,600 + 7,096,700 + 6,692,200)
÷ 1,888,200 = 14.83
2 Click competitor name to see calculations.
The financial data reveals various trends concerning costs and payables over multiple quarterly periods.
- Cost of Revenues
- The cost of revenues shows a general upward trend throughout the observed timeframe. Starting at approximately 4.75 billion USD (in thousands) at the end of 2018, it experiences fluctuations but mostly increases, reaching over 7.3 billion USD (in thousands) by mid-2025. Notably, there was a decline during early 2020, likely influenced by external factors, before the values resumed their growth trajectory. The steady rise from late 2020 onwards indicates increasing operational expenses or expanded business activities leading to higher costs.
- Accounts Payable
- Accounts payable figures display some variability but overall show an increasing pattern over the period. Beginning near 1.1 billion USD (in thousands) at the end of 2018, values slightly declined during the early 2020 quarters but recovered afterwards. From 2021 onwards, accounts payable consistently rise, reaching around 1.9 billion USD (in thousands) by mid-2025. This increase may suggest extended payment terms or growing purchase volumes, contributing to higher outstanding payables.
- Payables Turnover Ratio
- The payables turnover ratio is only available from mid-2019 and shows a fluctuating pattern with a peak near 21.71 in late 2019, followed by a general downward trend. After the peak, the ratio declines gradually to levels around 14.25 to 16.92 by early to mid-2025. This decline indicates that the company is taking longer to settle its payables, reflecting either longer credit terms negotiated with suppliers or slower payments. The trend implies a shift in working capital management strategies focused on optimizing cash flow.
In summary, the data suggests a scenario where costs are increasing substantially, and corresponding payables are rising but with a longer payment cycle as evidenced by the declining payables turnover ratio. These developments can be indicative of an expanding operation with changes in supplier credit conditions or internal payment policies. The period around early 2020 shows disruptions consistent with broader economic conditions, but recovery and growth follow in subsequent quarters.
Working Capital Turnover
Starbucks Corp., working capital turnover calculation (quarterly data)
| Jun 29, 2025 | Mar 30, 2025 | Dec 29, 2024 | Sep 29, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Oct 1, 2023 | Jul 2, 2023 | Apr 2, 2023 | Jan 1, 2023 | Oct 2, 2022 | Jul 3, 2022 | Apr 3, 2022 | Jan 2, 2022 | Oct 3, 2021 | Jun 27, 2021 | Mar 28, 2021 | Dec 27, 2020 | Sep 27, 2020 | Jun 28, 2020 | Mar 29, 2020 | Dec 29, 2019 | Sep 29, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 30, 2018 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||||||||||||||||||||||||||||||
| Current assets | 8,421,500) | 6,713,700) | 7,284,700) | 6,847,400) | 6,807,900) | 6,465,000) | 6,569,500) | 7,303,400) | 7,170,700) | 7,046,200) | 6,934,900) | 7,018,700) | 7,067,500) | 7,541,100) | 7,255,100) | 9,756,400) | 7,931,700) | 6,979,500) | 8,357,500) | 7,806,400) | 7,581,000) | 5,749,900) | 5,899,700) | 5,653,900) | 7,734,800) | 4,952,300) | 7,676,300) | ||||||||
| Less: Current liabilities | 11,142,300) | 10,429,300) | 9,725,300) | 9,070,000) | 7,649,500) | 7,528,900) | 9,395,600) | 9,345,300) | 9,214,600) | 9,121,800) | 9,246,200) | 9,151,800) | 8,402,400) | 9,104,300) | 8,921,100) | 8,151,400) | 7,799,800) | 6,505,100) | 7,883,900) | 7,346,800) | 8,002,000) | 8,265,800) | 8,675,500) | 6,168,700) | 5,895,800) | 5,273,400) | 5,427,500) | ||||||||
| Working capital | (2,720,800) | (3,715,600) | (2,440,600) | (2,222,600) | (841,600) | (1,063,900) | (2,826,100) | (2,041,900) | (2,043,900) | (2,075,600) | (2,311,300) | (2,133,100) | (1,334,900) | (1,563,200) | (1,666,000) | 1,605,000) | 131,900) | 474,400) | 473,600) | 459,600) | (421,000) | (2,515,900) | (2,775,800) | (514,800) | 1,839,000) | (321,100) | 2,248,800) | ||||||||
| Net revenues | 9,456,000) | 8,761,600) | 9,397,800) | 9,074,000) | 9,113,900) | 8,563,000) | 9,425,300) | 9,373,600) | 9,168,300) | 8,719,800) | 8,713,900) | 8,414,200) | 8,150,100) | 7,635,600) | 8,050,400) | 8,146,700) | 7,496,500) | 6,668,000) | 6,749,400) | 6,203,100) | 4,222,100) | 5,995,700) | 7,097,100) | 6,747,000) | 6,823,000) | 6,305,900) | 6,632,700) | ||||||||
| Short-term Activity Ratio | |||||||||||||||||||||||||||||||||||
| Working capital turnover1 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | 18.11 | 205.59 | 50.26 | 48.92 | 51.17 | — | — | — | — | — | — | — | ||||||||
| Benchmarks | |||||||||||||||||||||||||||||||||||
| Working Capital Turnover, Competitors2 | |||||||||||||||||||||||||||||||||||
| Airbnb Inc. | — | 2.65 | 2.46 | 1.58 | 1.55 | 1.64 | 1.64 | 1.51 | 1.25 | 1.41 | 1.31 | 1.22 | 1.17 | 1.13 | 1.10 | 0.99 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Booking Holdings Inc. | — | 5.41 | 6.77 | 4.90 | 5.99 | 7.26 | 6.04 | 5.77 | 3.65 | 2.82 | 2.77 | 2.33 | 4.14 | 3.16 | 2.32 | 1.59 | 1.07 | 1.02 | 0.74 | 0.77 | — | — | — | — | — | — | — | ||||||||
| Chipotle Mexican Grill Inc. | — | 15.71 | 20.15 | 18.49 | 17.10 | 14.35 | 15.74 | 16.73 | 16.40 | 16.17 | 24.45 | 34.00 | 32.42 | 37.95 | 29.78 | 14.86 | 10.78 | 11.18 | 10.14 | 10.01 | — | — | — | — | — | — | — | ||||||||
| DoorDash, Inc. | — | 2.36 | 3.43 | 3.64 | 3.81 | 3.71 | 3.82 | 3.95 | 3.78 | 4.09 | 3.70 | 3.03 | 2.45 | 2.01 | 1.98 | 1.74 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| McDonald’s Corp. | — | 7.33 | 13.15 | 13.25 | — | 33.38 | — | 8.64 | 3.33 | 7.11 | 3.99 | 5.39 | 4.03 | 6.64 | 23.54 | 3.13 | 5.58 | 5.19 | 9.32 | 131.28 | — | — | — | — | — | — | — | ||||||||
Based on: 10-Q (reporting date: 2025-06-29), 10-Q (reporting date: 2025-03-30), 10-Q (reporting date: 2024-12-29), 10-K (reporting date: 2024-09-29), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-Q (reporting date: 2023-12-31), 10-K (reporting date: 2023-10-01), 10-Q (reporting date: 2023-07-02), 10-Q (reporting date: 2023-04-02), 10-Q (reporting date: 2023-01-01), 10-K (reporting date: 2022-10-02), 10-Q (reporting date: 2022-07-03), 10-Q (reporting date: 2022-04-03), 10-Q (reporting date: 2022-01-02), 10-K (reporting date: 2021-10-03), 10-Q (reporting date: 2021-06-27), 10-Q (reporting date: 2021-03-28), 10-Q (reporting date: 2020-12-27), 10-K (reporting date: 2020-09-27), 10-Q (reporting date: 2020-06-28), 10-Q (reporting date: 2020-03-29), 10-Q (reporting date: 2019-12-29), 10-K (reporting date: 2019-09-29), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-30).
1 Q3 2025 Calculation
Working capital turnover
= (Net revenuesQ3 2025
+ Net revenuesQ2 2025
+ Net revenuesQ1 2025
+ Net revenuesQ4 2024)
÷ Working capital
= (9,456,000 + 8,761,600 + 9,397,800 + 9,074,000)
÷ -2,720,800 = —
2 Click competitor name to see calculations.
The analysis of the quarterly financial data reveals several notable trends and fluctuations over the observed periods.
- Working Capital
- The working capital figures demonstrate considerable volatility across the quarters. Initially, there are alternating positive and negative values without a clear pattern, indicating inconsistent liquidity or operational financing. Starting from late 2019 through 2020, the working capital remains predominantly negative, signifying potential liquidity challenges or increased current liabilities relative to current assets during this period. Some improvement is observed around late 2020 and early 2021 with positive working capital values, though this trend reverses again, with negative values prevailing into 2025. The negative working capital in many quarters suggests a reliance on creditors or reference to a business model with fast turnover of payables or receivables; however, sustained negative values could be a cause for closer scrutiny concerning short-term financial health.
- Net Revenues
- Net revenues express a recovery and growth trajectory with some fluctuations over the timeline. There is a noticeable dip in revenue starting in late 2019 through mid-2020, which likely aligns with external challenges impacting business activity. From late 2020 onward, revenues generally increase, reaching new highs in the periods from late 2022 through 2024. Despite transient decreases in some quarters within this period, the overall trend appears positive, with the latest quarters reflecting net revenue levels above earlier years’ averages. This growth suggests strong sales performance and customer demand resilience over time, counteracting earlier downturns.
- Working Capital Turnover
- The working capital turnover ratio data is incomplete and only presented for a specific range of quarters in late 2020 to early 2021. Within this range, the ratio shows exceptionally high values (from approximately 18.11 to 205.59), indicating a rapid turnover of working capital relative to revenues. The spike to over 200 suggests exceptional efficiency or a very low working capital base during that period, corroborated by the relatively small positive working capital in the same quarters. A high turnover ratio often points to effective utilization of working capital to generate revenues, although excessively high values can also indicate very tight liquidity, requiring further analysis to assess sustainability.
Average Inventory Processing Period
Starbucks Corp., average inventory processing period calculation (quarterly data)
| Jun 29, 2025 | Mar 30, 2025 | Dec 29, 2024 | Sep 29, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Oct 1, 2023 | Jul 2, 2023 | Apr 2, 2023 | Jan 1, 2023 | Oct 2, 2022 | Jul 3, 2022 | Apr 3, 2022 | Jan 2, 2022 | Oct 3, 2021 | Jun 27, 2021 | Mar 28, 2021 | Dec 27, 2020 | Sep 27, 2020 | Jun 28, 2020 | Mar 29, 2020 | Dec 29, 2019 | Sep 29, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 30, 2018 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data | |||||||||||||||||||||||||||||||||||
| Inventory turnover | 12.40 | 13.32 | 15.44 | 14.89 | 14.25 | 15.15 | 16.09 | 14.46 | 12.95 | 12.54 | 11.70 | 10.97 | 10.97 | 11.79 | 13.24 | 12.89 | 12.64 | 12.25 | 12.45 | 11.90 | 11.80 | 13.06 | 13.72 | 12.44 | — | — | — | ||||||||
| Short-term Activity Ratio (no. days) | |||||||||||||||||||||||||||||||||||
| Average inventory processing period1 | 29 | 27 | 24 | 25 | 26 | 24 | 23 | 25 | 28 | 29 | 31 | 33 | 33 | 31 | 28 | 28 | 29 | 30 | 29 | 31 | 31 | 28 | 27 | 29 | — | — | — | ||||||||
| Benchmarks (no. days) | |||||||||||||||||||||||||||||||||||
| Average Inventory Processing Period, Competitors2 | |||||||||||||||||||||||||||||||||||
| Chipotle Mexican Grill Inc. | — | 2 | 2 | 2 | 2 | 2 | 2 | 2 | 2 | 2 | 2 | 2 | 2 | 2 | 2 | 2 | 2 | 2 | 2 | 2 | — | — | — | — | — | — | — | ||||||||
| McDonald’s Corp. | — | 2 | 2 | 2 | 2 | 2 | 2 | 2 | 2 | 2 | 3 | 3 | 2 | 2 | 2 | 3 | 2 | 2 | 2 | 3 | — | — | — | — | — | — | — | ||||||||
Based on: 10-Q (reporting date: 2025-06-29), 10-Q (reporting date: 2025-03-30), 10-Q (reporting date: 2024-12-29), 10-K (reporting date: 2024-09-29), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-Q (reporting date: 2023-12-31), 10-K (reporting date: 2023-10-01), 10-Q (reporting date: 2023-07-02), 10-Q (reporting date: 2023-04-02), 10-Q (reporting date: 2023-01-01), 10-K (reporting date: 2022-10-02), 10-Q (reporting date: 2022-07-03), 10-Q (reporting date: 2022-04-03), 10-Q (reporting date: 2022-01-02), 10-K (reporting date: 2021-10-03), 10-Q (reporting date: 2021-06-27), 10-Q (reporting date: 2021-03-28), 10-Q (reporting date: 2020-12-27), 10-K (reporting date: 2020-09-27), 10-Q (reporting date: 2020-06-28), 10-Q (reporting date: 2020-03-29), 10-Q (reporting date: 2019-12-29), 10-K (reporting date: 2019-09-29), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-30).
1 Q3 2025 Calculation
Average inventory processing period = 365 ÷ Inventory turnover
= 365 ÷ 12.40 = 29
2 Click competitor name to see calculations.
The inventory turnover ratio displays a notable variation over the analyzed periods. Initially recorded at 12.44 in December 2018, there is a peak reaching 13.72 by March 2019. Following this peak, the ratio trends downward, bottoming out around 10.97 in both July and October 2022, indicating a slower rate of inventory turnover during this timeframe. After this trough, a consistent upward trajectory is observed, culminating in a significant high of 16.09 in July 2023. Subsequently, the ratio decreases moderately but remains elevated relative to earlier periods, ending at 12.40 by June 2025.
Correspondingly, the average inventory processing period, measured in days, inversely correlates with the inventory turnover ratio trends. It begins at approximately 29 days, decreases to a minimum of 27 days around March 2019, and then extends to a peak of 33 days during the mid-2022 quarters, coinciding with the lower turnover ratios observed. This increase suggests longer inventory holding times during that period. Post-peak, the processing period declines steadily to 23 days by July 2023, in line with the higher turnover ratio noted at the same time. Towards the end of the dataset, the average processing period slightly rises again, reaching 29 days by June 2025.
The analysis indicates a cyclical pattern in inventory management effectiveness, with periods of accelerated inventory processing followed by phases of deceleration. The recent increases in inventory turnover ratio and declines in processing period imply improved inventory efficiency as of mid-2023, although a slight reversal in these gains is apparent thereafter. These fluctuations could reflect responses to market demand variations, supply chain management strategies, or other operational factors affecting inventory handling.
Average Receivable Collection Period
Starbucks Corp., average receivable collection period calculation (quarterly data)
| Jun 29, 2025 | Mar 30, 2025 | Dec 29, 2024 | Sep 29, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Oct 1, 2023 | Jul 2, 2023 | Apr 2, 2023 | Jan 1, 2023 | Oct 2, 2022 | Jul 3, 2022 | Apr 3, 2022 | Jan 2, 2022 | Oct 3, 2021 | Jun 27, 2021 | Mar 28, 2021 | Dec 27, 2020 | Sep 27, 2020 | Jun 28, 2020 | Mar 29, 2020 | Dec 29, 2019 | Sep 29, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 30, 2018 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data | |||||||||||||||||||||||||||||||||||
| Receivables turnover | 29.53 | 31.48 | 29.12 | 29.80 | 31.83 | 32.90 | 31.49 | 30.38 | 30.71 | 28.67 | 28.30 | 27.44 | 27.91 | 31.27 | 29.45 | 30.92 | 29.76 | 27.09 | 26.09 | 26.62 | 27.31 | 28.33 | 29.70 | 30.15 | — | — | — | ||||||||
| Short-term Activity Ratio (no. days) | |||||||||||||||||||||||||||||||||||
| Average receivable collection period1 | 12 | 12 | 13 | 12 | 11 | 11 | 12 | 12 | 12 | 13 | 13 | 13 | 13 | 12 | 12 | 12 | 12 | 13 | 14 | 14 | 13 | 13 | 12 | 12 | — | — | — | ||||||||
| Benchmarks (no. days) | |||||||||||||||||||||||||||||||||||
| Average Receivable Collection Period, Competitors2 | |||||||||||||||||||||||||||||||||||
| Airbnb Inc. | — | 6 | 6 | 5 | 6 | 6 | 6 | 8 | 8 | 9 | 8 | 7 | 7 | 8 | 7 | 7 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Booking Holdings Inc. | — | 64 | 50 | 49 | 58 | 62 | 55 | 56 | 61 | 53 | 41 | 48 | 52 | 56 | 47 | 45 | 62 | 66 | 38 | 28 | — | — | — | — | — | — | — | ||||||||
| Chipotle Mexican Grill Inc. | — | 3 | 3 | 5 | 3 | 3 | 3 | 4 | 3 | 2 | 3 | 5 | 3 | 4 | 4 | 5 | 4 | 4 | 4 | 6 | — | — | — | — | — | — | — | ||||||||
| DoorDash, Inc. | — | 26 | 25 | 25 | 22 | 22 | 22 | 23 | 19 | 18 | 19 | 22 | 20 | 22 | 22 | 26 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| McDonald’s Corp. | — | 97 | 91 | 89 | 90 | 89 | 83 | 93 | 87 | 89 | 87 | 88 | 76 | 70 | 62 | 70 | 70 | 72 | 76 | 95 | — | — | — | — | — | — | — | ||||||||
Based on: 10-Q (reporting date: 2025-06-29), 10-Q (reporting date: 2025-03-30), 10-Q (reporting date: 2024-12-29), 10-K (reporting date: 2024-09-29), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-Q (reporting date: 2023-12-31), 10-K (reporting date: 2023-10-01), 10-Q (reporting date: 2023-07-02), 10-Q (reporting date: 2023-04-02), 10-Q (reporting date: 2023-01-01), 10-K (reporting date: 2022-10-02), 10-Q (reporting date: 2022-07-03), 10-Q (reporting date: 2022-04-03), 10-Q (reporting date: 2022-01-02), 10-K (reporting date: 2021-10-03), 10-Q (reporting date: 2021-06-27), 10-Q (reporting date: 2021-03-28), 10-Q (reporting date: 2020-12-27), 10-K (reporting date: 2020-09-27), 10-Q (reporting date: 2020-06-28), 10-Q (reporting date: 2020-03-29), 10-Q (reporting date: 2019-12-29), 10-K (reporting date: 2019-09-29), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-30).
1 Q3 2025 Calculation
Average receivable collection period = 365 ÷ Receivables turnover
= 365 ÷ 29.53 = 12
2 Click competitor name to see calculations.
The analysis of the receivables turnover ratio and the average receivable collection period over the observed quarterly periods reveals several notable trends concerning the efficiency of the company's credit and collection processes.
- Receivables Turnover Ratio
- The receivables turnover ratio shows a gradual decline from a high of 30.15 around the end of 2018 to a low near 26.09 in early 2020. This downward trend suggests a slight reduction in the company's effectiveness in collecting receivables during this interval. Subsequently, the ratio begins a recovery phase, increasing steadily to reach a peak above 32 by mid-2024, before a mild decline toward the end of the dataset. The fluctuations indicate periods of variable collection efficiency, with an overall improvement in receivables management in the latter years.
- Average Receivable Collection Period
- Inversely related to the turnover ratio, the average receivable collection period increased from 12 days to 14 days in early 2020, indicating a longer time to collect receivables during this period. Following this increase, the period shortened again, stabilizing mostly around 12 to 13 days in subsequent quarters. A noteworthy improvement is observed in mid-2024 when the collection period reached as low as 11 days, reflecting improved cash flow management. Towards the most recent periods, the collection period slightly fluctuates but remains near this improved benchmark.
- Overall Insights
- The data suggest that the company experienced some challenges in receivables collection efficiency leading up to 2020, reflected by declining turnover and increasing collection days. However, the recovery and improvement from 2021 onward demonstrate effective management interventions aimed at tightening credit controls and accelerating cash inflows. The stability and slight improvement in both metrics in recent quarters indicate a consistent and effective receivables collection process, supporting the company's liquidity and financial health.
Operating Cycle
Starbucks Corp., operating cycle calculation (quarterly data)
No. days
| Jun 29, 2025 | Mar 30, 2025 | Dec 29, 2024 | Sep 29, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Oct 1, 2023 | Jul 2, 2023 | Apr 2, 2023 | Jan 1, 2023 | Oct 2, 2022 | Jul 3, 2022 | Apr 3, 2022 | Jan 2, 2022 | Oct 3, 2021 | Jun 27, 2021 | Mar 28, 2021 | Dec 27, 2020 | Sep 27, 2020 | Jun 28, 2020 | Mar 29, 2020 | Dec 29, 2019 | Sep 29, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 30, 2018 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data | |||||||||||||||||||||||||||||||||||
| Average inventory processing period | 29 | 27 | 24 | 25 | 26 | 24 | 23 | 25 | 28 | 29 | 31 | 33 | 33 | 31 | 28 | 28 | 29 | 30 | 29 | 31 | 31 | 28 | 27 | 29 | — | — | — | ||||||||
| Average receivable collection period | 12 | 12 | 13 | 12 | 11 | 11 | 12 | 12 | 12 | 13 | 13 | 13 | 13 | 12 | 12 | 12 | 12 | 13 | 14 | 14 | 13 | 13 | 12 | 12 | — | — | — | ||||||||
| Short-term Activity Ratio | |||||||||||||||||||||||||||||||||||
| Operating cycle1 | 41 | 39 | 37 | 37 | 37 | 35 | 35 | 37 | 40 | 42 | 44 | 46 | 46 | 43 | 40 | 40 | 41 | 43 | 43 | 45 | 44 | 41 | 39 | 41 | — | — | — | ||||||||
| Benchmarks | |||||||||||||||||||||||||||||||||||
| Operating Cycle, Competitors2 | |||||||||||||||||||||||||||||||||||
| Chipotle Mexican Grill Inc. | — | 5 | 5 | 7 | 5 | 5 | 5 | 6 | 5 | 4 | 5 | 7 | 5 | 6 | 6 | 7 | 6 | 6 | 6 | 8 | — | — | — | — | — | — | — | ||||||||
| McDonald’s Corp. | — | 99 | 93 | 91 | 92 | 91 | 85 | 95 | 89 | 91 | 90 | 91 | 78 | 72 | 64 | 73 | 72 | 74 | 78 | 98 | — | — | — | — | — | — | — | ||||||||
Based on: 10-Q (reporting date: 2025-06-29), 10-Q (reporting date: 2025-03-30), 10-Q (reporting date: 2024-12-29), 10-K (reporting date: 2024-09-29), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-Q (reporting date: 2023-12-31), 10-K (reporting date: 2023-10-01), 10-Q (reporting date: 2023-07-02), 10-Q (reporting date: 2023-04-02), 10-Q (reporting date: 2023-01-01), 10-K (reporting date: 2022-10-02), 10-Q (reporting date: 2022-07-03), 10-Q (reporting date: 2022-04-03), 10-Q (reporting date: 2022-01-02), 10-K (reporting date: 2021-10-03), 10-Q (reporting date: 2021-06-27), 10-Q (reporting date: 2021-03-28), 10-Q (reporting date: 2020-12-27), 10-K (reporting date: 2020-09-27), 10-Q (reporting date: 2020-06-28), 10-Q (reporting date: 2020-03-29), 10-Q (reporting date: 2019-12-29), 10-K (reporting date: 2019-09-29), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-30).
1 Q3 2025 Calculation
Operating cycle = Average inventory processing period + Average receivable collection period
= 29 + 12 = 41
2 Click competitor name to see calculations.
The analysis of the financial data reveals specific trends in the company's operational efficiency over the given periods. Focusing on the average inventory processing period, there is a gradual fluctuation observed. Initially, the processing period decreases slightly from 29 days to 27 days around early 2020, then experiences minor fluctuations, reaching a peak of around 33 days in the early 2022 timeframe before showing a general decline again towards the most recent periods, where it settles near 29 days. This suggests some variability in inventory turnover but a tendency to stabilize around a monthly cycle.
The average receivable collection period demonstrates relative stability throughout the timeline. It generally remains within a narrow band between 11 and 14 days, without significant spikes or drops. This constancy indicates consistent credit collection practices and effective receivables management.
Examining the operating cycle, which combines the inventory processing and receivable collection periods, the data indicates moderate volatility. The cycle ranges from approximately 35 days to 46 days, with peaks near early 2022 and dips in the mid-2023 period. The operating cycle’s fluctuations parallel the changes in inventory processing periods, as receivables remain fairly steady.
In summary, while the average receivable collection period remains steady, inventory management shows more pronounced variability affecting the overall operating cycle. The company appears to have maintained effective credit control, but there have been periods of slower inventory turnover, particularly during early 2022, which impacted the operating efficiency. Recent trends suggest a return to shorter cycles, indicating possible improvements in inventory management towards the latest periods.
Average Payables Payment Period
Starbucks Corp., average payables payment period calculation (quarterly data)
| Jun 29, 2025 | Mar 30, 2025 | Dec 29, 2024 | Sep 29, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Oct 1, 2023 | Jul 2, 2023 | Apr 2, 2023 | Jan 1, 2023 | Oct 2, 2022 | Jul 3, 2022 | Apr 3, 2022 | Jan 2, 2022 | Oct 3, 2021 | Jun 27, 2021 | Mar 28, 2021 | Dec 27, 2020 | Sep 27, 2020 | Jun 28, 2020 | Mar 29, 2020 | Dec 29, 2019 | Sep 29, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 30, 2018 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data | |||||||||||||||||||||||||||||||||||
| Payables turnover | 14.83 | 14.25 | 15.04 | 16.59 | 16.66 | 17.76 | 18.13 | 16.92 | 17.11 | 17.49 | 18.12 | 16.57 | 15.70 | 17.03 | 16.81 | 17.06 | 17.36 | 17.82 | 17.44 | 18.50 | 21.71 | 19.54 | 17.80 | 15.99 | — | — | — | ||||||||
| Short-term Activity Ratio (no. days) | |||||||||||||||||||||||||||||||||||
| Average payables payment period1 | 25 | 26 | 24 | 22 | 22 | 21 | 20 | 22 | 21 | 21 | 20 | 22 | 23 | 21 | 22 | 21 | 21 | 20 | 21 | 20 | 17 | 19 | 21 | 23 | — | — | — | ||||||||
| Benchmarks (no. days) | |||||||||||||||||||||||||||||||||||
| Average Payables Payment Period, Competitors2 | |||||||||||||||||||||||||||||||||||
| Booking Holdings Inc. | — | 62 | 50 | 59 | 64 | 64 | 54 | 59 | 53 | 40 | 43 | 54 | 49 | 56 | 44 | 53 | 58 | 52 | 37 | 39 | — | — | — | — | — | — | — | ||||||||
| Chipotle Mexican Grill Inc. | — | 9 | 9 | 9 | 10 | 10 | 10 | 10 | 11 | 9 | 10 | 10 | 9 | 9 | 10 | 10 | 11 | 10 | 10 | 9 | — | — | — | — | — | — | — | ||||||||
| DoorDash, Inc. | — | 21 | 21 | 21 | 13 | 12 | 15 | 17 | 12 | 15 | 19 | 16 | 27 | 26 | 29 | 25 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| McDonald’s Corp. | — | 37 | 39 | 45 | 41 | 42 | 41 | 49 | 39 | 38 | 40 | 48 | 38 | 34 | 32 | 46 | 36 | 35 | 35 | 39 | — | — | — | — | — | — | — | ||||||||
Based on: 10-Q (reporting date: 2025-06-29), 10-Q (reporting date: 2025-03-30), 10-Q (reporting date: 2024-12-29), 10-K (reporting date: 2024-09-29), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-Q (reporting date: 2023-12-31), 10-K (reporting date: 2023-10-01), 10-Q (reporting date: 2023-07-02), 10-Q (reporting date: 2023-04-02), 10-Q (reporting date: 2023-01-01), 10-K (reporting date: 2022-10-02), 10-Q (reporting date: 2022-07-03), 10-Q (reporting date: 2022-04-03), 10-Q (reporting date: 2022-01-02), 10-K (reporting date: 2021-10-03), 10-Q (reporting date: 2021-06-27), 10-Q (reporting date: 2021-03-28), 10-Q (reporting date: 2020-12-27), 10-K (reporting date: 2020-09-27), 10-Q (reporting date: 2020-06-28), 10-Q (reporting date: 2020-03-29), 10-Q (reporting date: 2019-12-29), 10-K (reporting date: 2019-09-29), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-30).
1 Q3 2025 Calculation
Average payables payment period = 365 ÷ Payables turnover
= 365 ÷ 14.83 = 25
2 Click competitor name to see calculations.
The payables turnover ratio exhibits a generally declining trend over the observed periods. Starting from a peak of 21.71 in September 2019, the ratio decreases overall to 14.83 by June 2025, indicating a slowdown in the frequency of payables being settled throughout the year. This decline suggests that the company is taking longer to pay its suppliers over time, potentially reflecting changes in payment policies, cash flow management, or supplier relationships.
Corresponding to this inverse relationship, the average payables payment period in days demonstrates a rising pattern. Initially declining from 23 days in December 2019 to a low of 17 days in September 2019 to June 2020, it then trends upward again, reaching 25 days by June 2025. This increase confirms that the company is extending the duration it takes to settle its payables, consistent with the falling turnover ratio.
Notably, there is a period of relative stability in both metrics between December 2020 and October 2022. During this interval, the payables turnover hovers around 16 to 17, while the payment period remains steady at approximately 21 to 23 days. This suggests a temporary maintenance of payment practices before the observable shift towards longer payment durations resumes.
Overall, the trend in payables turnover and average payment days indicates a strategic or operational shift towards extending accounts payable duration, which could positively impact short-term liquidity but may carry implications for supplier relations and credit terms. Monitoring these metrics in connection with other financial indicators would be advisable for a comprehensive assessment of working capital management.
- Payables Turnover Trend
- Decreased from approximately 21.71 in late 2019 to around 14.83 by mid-2025, showing slower payables turnover over time.
- Average Payables Payment Period
- Increased from low teens (~17 days) around mid-2020 to 25 days by mid-2025, indicating longer payment intervals.
- Period of Stability
- From late 2020 to late 2022, payables turnover and payment period showed limited fluctuation, suggesting consistent payment policies during this time.
- Implications
- The observed trends suggest a lengthening in payment cycles, potentially enhancing liquidity but necessitating attention to supplier relationships and credit management.
Cash Conversion Cycle
Starbucks Corp., cash conversion cycle calculation (quarterly data)
No. days
| Jun 29, 2025 | Mar 30, 2025 | Dec 29, 2024 | Sep 29, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Oct 1, 2023 | Jul 2, 2023 | Apr 2, 2023 | Jan 1, 2023 | Oct 2, 2022 | Jul 3, 2022 | Apr 3, 2022 | Jan 2, 2022 | Oct 3, 2021 | Jun 27, 2021 | Mar 28, 2021 | Dec 27, 2020 | Sep 27, 2020 | Jun 28, 2020 | Mar 29, 2020 | Dec 29, 2019 | Sep 29, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 30, 2018 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data | |||||||||||||||||||||||||||||||||||
| Average inventory processing period | 29 | 27 | 24 | 25 | 26 | 24 | 23 | 25 | 28 | 29 | 31 | 33 | 33 | 31 | 28 | 28 | 29 | 30 | 29 | 31 | 31 | 28 | 27 | 29 | — | — | — | ||||||||
| Average receivable collection period | 12 | 12 | 13 | 12 | 11 | 11 | 12 | 12 | 12 | 13 | 13 | 13 | 13 | 12 | 12 | 12 | 12 | 13 | 14 | 14 | 13 | 13 | 12 | 12 | — | — | — | ||||||||
| Average payables payment period | 25 | 26 | 24 | 22 | 22 | 21 | 20 | 22 | 21 | 21 | 20 | 22 | 23 | 21 | 22 | 21 | 21 | 20 | 21 | 20 | 17 | 19 | 21 | 23 | — | — | — | ||||||||
| Short-term Activity Ratio | |||||||||||||||||||||||||||||||||||
| Cash conversion cycle1 | 16 | 13 | 13 | 15 | 15 | 14 | 15 | 15 | 19 | 21 | 24 | 24 | 23 | 22 | 18 | 19 | 20 | 23 | 22 | 25 | 27 | 22 | 18 | 18 | — | — | — | ||||||||
| Benchmarks | |||||||||||||||||||||||||||||||||||
| Cash Conversion Cycle, Competitors2 | |||||||||||||||||||||||||||||||||||
| Chipotle Mexican Grill Inc. | — | -4 | -4 | -2 | -5 | -5 | -5 | -4 | -6 | -5 | -5 | -3 | -4 | -3 | -4 | -3 | -5 | -4 | -4 | -1 | — | — | — | — | — | — | — | ||||||||
| McDonald’s Corp. | — | 62 | 54 | 46 | 51 | 49 | 44 | 46 | 50 | 53 | 50 | 43 | 40 | 38 | 32 | 27 | 36 | 39 | 43 | 59 | — | — | — | — | — | — | — | ||||||||
Based on: 10-Q (reporting date: 2025-06-29), 10-Q (reporting date: 2025-03-30), 10-Q (reporting date: 2024-12-29), 10-K (reporting date: 2024-09-29), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-Q (reporting date: 2023-12-31), 10-K (reporting date: 2023-10-01), 10-Q (reporting date: 2023-07-02), 10-Q (reporting date: 2023-04-02), 10-Q (reporting date: 2023-01-01), 10-K (reporting date: 2022-10-02), 10-Q (reporting date: 2022-07-03), 10-Q (reporting date: 2022-04-03), 10-Q (reporting date: 2022-01-02), 10-K (reporting date: 2021-10-03), 10-Q (reporting date: 2021-06-27), 10-Q (reporting date: 2021-03-28), 10-Q (reporting date: 2020-12-27), 10-K (reporting date: 2020-09-27), 10-Q (reporting date: 2020-06-28), 10-Q (reporting date: 2020-03-29), 10-Q (reporting date: 2019-12-29), 10-K (reporting date: 2019-09-29), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-30).
1 Q3 2025 Calculation
Cash conversion cycle = Average inventory processing period + Average receivable collection period – Average payables payment period
= 29 + 12 – 25 = 16
2 Click competitor name to see calculations.
- Average Inventory Processing Period
- The average inventory processing period exhibited moderate fluctuations over the observed timeframe. Starting at 29 days near the end of 2018, it remained relatively steady around the high twenties and low thirties throughout 2019 to early 2023. There was a slight increase to 33 days during mid-2022, suggesting a period of slower inventory turnover. Subsequently, a gradual decline occurred, reaching a low of 23 days in early 2024, indicating improved efficiency in inventory management. A minor uptick to 29 days is noted by the close of the observed period in mid-2025.
- Average Receivable Collection Period
- The average receivable collection period remained relatively consistent, fluctuating within a narrow range of 11 to 14 days over the entire period. Early in the dataset, it hovered around 12 to 14 days, with no significant upward or downward trend. From late 2019 through 2025, the collection days mostly stayed within 12 to 13 days, representing steady credit and collection policies with no evident deterioration or enhancement in receivable turnover.
- Average Payables Payment Period
- The average payables payment period displayed a declining trend during the initial years, dropping from 23 days to a low of 17 days around late 2019. This suggests a period of quicker payments to suppliers. Subsequently, a gradual increase ensued, with the payment period fluctuating around 20 to 23 days from 2020 through early 2024. Towards mid-2025, the payables period extended further to approximately 25 to 26 days, indicating a tendency to delay payments slightly in the later stages of the timeline.
- Cash Conversion Cycle
- The cash conversion cycle exhibited moderate variability across the examined quarters. Initially, it was steady at around 18 days in late 2018 and early 2019 before rising to 27 days by late 2019, indicating a lengthening of the time between cash outflows and inflows. From 2020 through early 2023, the cycle gradually shortened, maintaining figures between 14 and 24 days. By early 2024, it improved further to approximately 13 to 16 days, suggesting enhanced operational efficiency in managing working capital. This improvement aligns with the reduction seen in the inventory processing and stable receivable collection periods, offset by a slight extension in payables payment period.
- Overall Insights
- The data reveals that inventory management improved over the observed horizon, with a reduction in processing time from a peak of 33 days to the mid-20s. Receivable collection practices were consistent and stable. The variation in payables days suggests shifts in supplier payment strategy, initially moving towards faster payments and later extending payment durations. The cash conversion cycle's reduction in later years indicates overall better working capital management, balancing earlier delays with improved inventory turnover and steady receivables. This suggests a focus on optimizing cash flow without compromising supplier relationships significantly in recent periods.