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.
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- Common-Size Balance Sheet: Liabilities and Stockholders’ Equity
- Analysis of Profitability Ratios
- Common Stock Valuation Ratios
- Enterprise Value (EV)
- Enterprise Value to FCFF (EV/FCFF)
- Capital Asset Pricing Model (CAPM)
- Dividend Discount Model (DDM)
- Selected Financial Data since 2019
- Operating Profit Margin since 2019
- Total Asset Turnover since 2019
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Short-term Activity Ratios (Summary)
Uber Technologies Inc., short-term (operating) activity ratios (quarterly data)
Based on: 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
- Receivables Turnover
- The receivables turnover ratio demonstrates fluctuations over the periods analyzed. Starting at 10.04 in March 2021, it generally increased with some volatility, reaching a notable low of 7.16 in December 2021 before climbing to a peak of 13.59 in June 2023. Following that peak, it shows a slight decline but remains relatively high, ending at 12.56 in June 2025. The trend suggests an improvement in the ability to collect receivables more quickly over time, with some short-term variability.
- Payables Turnover
- Payables turnover presented considerable variation, beginning at 23.16 in March 2021 and dropping sharply to 15.26 in June 2021. It then generally trended upward, reaching as high as 32.37 in September 2024. The turnover ratio remained elevated towards the end of the period, around the high twenties and low thirties. This indicates an overall enhanced capacity to pay off suppliers faster, with periods of adjustment in between.
- Working Capital Turnover
- The working capital turnover ratio experienced extreme volatility, with some quarters missing data. An exceptionally high figure was recorded in March 2022 at 1646.62, alongside other irregular peaks such as 129.39 in June 2021 and 191.48 in June 2025. Most other values remain within a more moderate range, fluctuating between approximately 9 and 83. This inconsistency suggests irregular utilization and management of working capital, with some quarters showing unusually efficient turnover likely due to specific operational or accounting events.
- Average Receivable Collection Period
- The average receivable collection period shows a general improvement over the time frame. Initially at 36 days in March 2021, it peaks to 51 days in December 2021, indicating slower collections temporarily. After that, it steadily shortens to approximately 28 days by June 2025. This trend supports the improved receivables turnover ratio, indicating that the company is collecting payments more swiftly as time progresses.
- Average Payables Payment Period
- The average payables payment period varies somewhat but remains relatively stable in comparison to receivables collection days. It begins at 16 days in March 2021, increases to 34 days in December 2021, then declines and stabilizes around 11 to 13 days for most recent periods. This tightening of payment terms suggests a quicker payment pace to suppliers after the spike in late 2021, reflecting a potential strategic change or operational adjustment.
- Summary of Trends
- Overall, the data reveals improvements in operational efficiency related to receivables and payables management. Both receivables turnover and average collection periods point toward faster collection of accounts receivable. Payables turnover also increases while payment periods trend downward, indicating quicker supplier payments. Working capital turnover is volatile, with some extreme spikes suggesting irregular movements or one-time effects impacting the capital cycle. Nonetheless, the general direction signifies an increasingly efficient use of capital and better liquidity management over the long term.
Turnover Ratios
Average No. Days
Receivables Turnover
Uber Technologies Inc., receivables turnover calculation (quarterly data)
| Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||
| Revenue | ||||||||||||||||||||||||
| Accounts receivable, net of allowance | ||||||||||||||||||||||||
| Short-term Activity Ratio | ||||||||||||||||||||||||
| Receivables turnover1 | ||||||||||||||||||||||||
| Benchmarks | ||||||||||||||||||||||||
| Receivables Turnover, Competitors2 | ||||||||||||||||||||||||
| FedEx Corp. | ||||||||||||||||||||||||
| Union Pacific Corp. | ||||||||||||||||||||||||
| United Airlines Holdings Inc. | ||||||||||||||||||||||||
| United Parcel Service Inc. | ||||||||||||||||||||||||
Based on: 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
1 Q2 2025 Calculation
Receivables turnover
= (RevenueQ2 2025
+ RevenueQ1 2025
+ RevenueQ4 2024
+ RevenueQ3 2024)
÷ Accounts receivable, net of allowance
= ( + + + )
÷ =
2 Click competitor name to see calculations.
- Revenue
- Over the observed periods, revenue demonstrates a consistent upward trend with notable growth from 2,903 million USD in the first quarter of 2021 to 12,651 million USD by the second quarter of 2025. Periodic increases are steady, reflecting continued expansion in overall sales or service activities. Some quarters exhibit slightly slower growth rates, particularly around early 2025, but the general trajectory remains positive and robust across the time frame.
- Accounts Receivable, Net of Allowance
- The accounts receivable balances generally increase from 1,075 million USD at the beginning of 2021 to a peak of 3,783 million USD in mid-2024, followed by some fluctuations thereafter. There is a significant jump in the fourth quarter of 2021, which may point to a change in customer payment behavior or billing cycles. After this jump, the figures grow steadily with some periods of decline, especially observable toward the latter part of 2024 and early 2025, indicating possible improvement in collections or adjustments in credit terms.
- Receivables Turnover Ratio
- The receivables turnover ratio shows variability but generally trends within a range indicating efficiency in collections. Initially, the ratio fluctuates around 10 to 11 in 2021, dips sharply to about 7 in late 2021, and then recovers steadily, reaching peaks above 13 in several quarters of 2023 and 2025. This suggests periods of faster collections alternating with slower ones, potentially influenced by changes in credit policies, customer payment patterns, or sales mix. The higher turnover ratios toward the recent periods imply improved collection effectiveness or tighter credit management.
- Overall Analysis
- The combined data suggest that revenue growth is accompanied by an increase in accounts receivable, which is typical in expanding operations. The significant rise in receivables at the end of 2021 might have temporarily impacted collection efficiency, as evidenced by the lower turnover ratio during that quarter. Nevertheless, the subsequent recovery and strengthening of the turnover ratio indicate responsive management actions to optimize working capital. The trends point toward a healthy revenue trajectory with improving credit management, although some fluctuations in receivables and turnover ratios suggest that the company contends with periodic challenges in maintaining consistent collection speed.
Payables Turnover
Uber Technologies Inc., payables turnover calculation (quarterly data)
| Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||
| Cost of revenue, exclusive of depreciation and amortization | ||||||||||||||||||||||||
| Accounts payable | ||||||||||||||||||||||||
| Short-term Activity Ratio | ||||||||||||||||||||||||
| Payables turnover1 | ||||||||||||||||||||||||
| Benchmarks | ||||||||||||||||||||||||
| Payables Turnover, Competitors2 | ||||||||||||||||||||||||
| FedEx Corp. | ||||||||||||||||||||||||
| United Airlines Holdings Inc. | ||||||||||||||||||||||||
| United Parcel Service Inc. | ||||||||||||||||||||||||
Based on: 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
1 Q2 2025 Calculation
Payables turnover
= (Cost of revenue, exclusive of depreciation and amortizationQ2 2025
+ Cost of revenue, exclusive of depreciation and amortizationQ1 2025
+ Cost of revenue, exclusive of depreciation and amortizationQ4 2024
+ Cost of revenue, exclusive of depreciation and amortizationQ3 2024)
÷ Accounts payable
= ( + + + )
÷ =
2 Click competitor name to see calculations.
- Cost of Revenue, Exclusive of Depreciation and Amortization
-
The cost of revenue shows a consistent upward trend over the entire period. Starting from approximately $1.71 billion in March 2021, this expense increases steadily, reaching over $7.6 billion by June 2025. Notable growth is observed particularly between March 2021 and June 2022, where the cost nearly triples. Afterward, the growth rate continues but at a somewhat slower pace with occasional quarter-to-quarter fluctuations.
- Accounts Payable
-
Accounts payable exhibit fluctuations over the observation period. Initially, there is an increase from $232 million in March 2021 to a peak of $860 million in December 2021. Following this peak, the payable balance experiences a general decline until mid-2023, where the values stabilize around the $700-800 million range. From late 2023 onwards, accounts payable show a moderate upward trend again, reaching slightly above $1 billion by June 2025.
- Payables Turnover Ratio
-
The payables turnover ratio shows variability but overall indicates an increasing efficiency in payment management. Early in the period, the ratio fluctuates significantly, from 23.16 in March 2021 down to 10.87 in December 2021. From 2022 onwards, the ratio rises steadily, indicating an acceleration in the rate at which payables are turned over. The ratio peaks multiple times above 30 from mid-2023 through June 2025, suggesting a higher frequency of vendor payment cycle completions relative to the accounts payable balance.
- Overall Insights
-
The continuous increase in the cost of revenue implies a high growth in operational scale or input costs over the analyzed period. Accounts payable do not increase proportionally with costs, which may reflect changes in payment terms, improved supplier negotiations, or cash management policies. The rising payables turnover ratio supports the interpretation of more rapid payments to suppliers or a relative decline in payable days. These patterns could indicate a strategic focus on managing liabilities more aggressively while managing increasing operational expenditure.
Working Capital Turnover
Uber Technologies Inc., working capital turnover calculation (quarterly data)
| Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||
| Current assets | ||||||||||||||||||||||||
| Less: Current liabilities | ||||||||||||||||||||||||
| Working capital | ||||||||||||||||||||||||
| Revenue | ||||||||||||||||||||||||
| Short-term Activity Ratio | ||||||||||||||||||||||||
| Working capital turnover1 | ||||||||||||||||||||||||
| Benchmarks | ||||||||||||||||||||||||
| Working Capital Turnover, Competitors2 | ||||||||||||||||||||||||
| FedEx Corp. | ||||||||||||||||||||||||
| Union Pacific Corp. | ||||||||||||||||||||||||
| United Airlines Holdings Inc. | ||||||||||||||||||||||||
| United Parcel Service Inc. | ||||||||||||||||||||||||
Based on: 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
1 Q2 2025 Calculation
Working capital turnover
= (RevenueQ2 2025
+ RevenueQ1 2025
+ RevenueQ4 2024
+ RevenueQ3 2024)
÷ Working capital
= ( + + + )
÷ =
2 Click competitor name to see calculations.
- Working Capital Analysis
- The working capital demonstrates significant volatility throughout the observed periods. Starting at $1,007 million, it sharply declined to $99 million and then rebounded to $1,558 million by the end of 2021. The value again became negative in mid-2022 before recovering to positive territory with fluctuations. Notably, the largest positive value appears in early 2025 with $4,496 million, followed by a sudden decline to $769 million and fluctuating thereafter. The varying working capital indicates some operational liquidity challenges and periodic changes in short-term financial management.
- Revenue Trends
- Revenue shows a consistent upward trajectory over the entire timeline, growing from $2,903 million in Q1 2021 to $12,651 million by mid-2025. The increases are steady each quarter, with no sharp declines or negative growth periods. This trend evidences strong top-line growth, reflecting expanding business activity or market demand increasing steadily over the years without interruption.
- Working Capital Turnover Ratio
- The working capital turnover ratio displays notable volatility, mirroring the fluctuations in working capital. Early in 2021, the ratio is moderate but spikes dramatically to an atypical high of 1,646.62, which suggests extreme variability likely due to near-zero or negative working capital values. Subsequently, the ratio stabilizes around a range from approximately 9 to 83, then fluctuates with peaks and troughs over the timeline. Large spikes occurring typically coincide with low or negative working capital, indicating the ratio's sensitivity to the denominator. The overall pattern lacks consistent stability and suggests fluctuating operational efficiency in converting working capital into revenue.
- Insights and Implications
- The steady growth in revenue paired with the irregular and sometimes negative working capital signals potential challenges in managing short-term assets and liabilities despite expanding sales. The volatility in working capital turnover emphasizes that the efficiency of working capital utilization is inconsistent. The company might be experiencing periods of increased leverage of short-term resources or liquidity tightening, which could affect cash flows or operational flexibility. Strategic focus on stabilizing working capital could improve operational consistency and financial stability in future periods.
Average Receivable Collection Period
Uber Technologies Inc., average receivable collection period calculation (quarterly data)
| Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data | ||||||||||||||||||||||||
| Receivables turnover | ||||||||||||||||||||||||
| Short-term Activity Ratio (no. days) | ||||||||||||||||||||||||
| Average receivable collection period1 | ||||||||||||||||||||||||
| Benchmarks (no. days) | ||||||||||||||||||||||||
| Average Receivable Collection Period, Competitors2 | ||||||||||||||||||||||||
| FedEx Corp. | ||||||||||||||||||||||||
| Union Pacific Corp. | ||||||||||||||||||||||||
| United Airlines Holdings Inc. | ||||||||||||||||||||||||
| United Parcel Service Inc. | ||||||||||||||||||||||||
Based on: 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
1 Q2 2025 Calculation
Average receivable collection period = 365 ÷ Receivables turnover
= 365 ÷ =
2 Click competitor name to see calculations.
- Receivables Turnover
- The receivables turnover ratio exhibits variability over the observed periods. After starting at 10.04 in March 2021, it generally increased to peak at 11.77 by September 2022, indicating improving efficiency in collecting receivables during that timeframe. A slight decline followed towards the end of 2022, with values around 11.47. In 2023, the ratio again rose, reaching a high of 13.59 in June, before progressively moderating towards the end of 2023 and into early 2024, where it fluctuated between approximately 10.41 and 11.28. From mid-2024 to mid-2025, a notable upward trend recurred, with the ratio climbing to above 13 around December 2024 and March 2025, followed by a slight decrease but remaining elevated compared to earlier periods. Overall, the pattern suggests intermittent improvements in receivables collection efficiency with some short-term fluctuations.
- Average Receivable Collection Period
- The average collection period, measured in days, shows an inverse relation to the receivables turnover ratio, as expected. It began at 36 days in March 2021, improving to 31 days by September 2021 after a temporary spike to 51 days in December 2021, which represents a significant slowdown in collections during that quarter. Subsequently, the collection period decreased consistently through 2022, stabilizing around 28 to 32 days by the end of the year. A similar pattern is seen in 2023 with the period improving further, reaching 27 days mid-year, before slightly increasing to 33 days by December. Throughout 2024 and into mid-2025, the period remained relatively stable between 28 and 35 days, with minor fluctuations but maintaining a generally shorter collection timeframe compared to early 2021. This trend indicates a gradual enhancement in receivables management with occasional deviations.
- Overall Insights
- The data reflects improving trends in receivables management efficiency, with turnover ratios increasing and collection periods decreasing over most intervals, albeit with some volatility. Notable periods of weaker receivables performance are evident around late 2021 and late 2023, where collection periods elongated and turnover ratios declined. However, these appear to have been followed by recoveries. The consistent reduction in average collection days towards the latter periods indicates enhanced credit and cash collection policies or improved customer payment behavior. The fluctuations suggest that while improvements are ongoing, certain external or internal factors temporarily affect receivable performance. Continuous monitoring and management focus appear warranted to sustain and further these positive trends.
Average Payables Payment Period
Uber Technologies Inc., average payables payment period calculation (quarterly data)
| Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data | ||||||||||||||||||||||||
| Payables turnover | ||||||||||||||||||||||||
| Short-term Activity Ratio (no. days) | ||||||||||||||||||||||||
| Average payables payment period1 | ||||||||||||||||||||||||
| Benchmarks (no. days) | ||||||||||||||||||||||||
| Average Payables Payment Period, Competitors2 | ||||||||||||||||||||||||
| FedEx Corp. | ||||||||||||||||||||||||
| United Airlines Holdings Inc. | ||||||||||||||||||||||||
| United Parcel Service Inc. | ||||||||||||||||||||||||
Based on: 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
1 Q2 2025 Calculation
Average payables payment period = 365 ÷ Payables turnover
= 365 ÷ =
2 Click competitor name to see calculations.
- Payables Turnover Ratio Trends
- The payables turnover ratio demonstrates notable fluctuations over the observed period. Initially, it started at 23.16 and then declined to 15.26 in the subsequent quarter, followed by a recovery to 24.8. A sharp dip to 10.87 is observed thereafter. From that low point, the ratio experienced a general upward trajectory, reaching a peak of 32.37. This suggests an improvement in the frequency of payables settlement toward the latter periods.
- Average Payables Payment Period Trends
- The average payables payment period inversely mirrors the payables turnover ratio, showing a rise from 16 days to 34 days in the earlier quarters. Afterwards, a consistent contraction in the payment period is evident, moving from 27 days down to around 11 to 13 days in the latest quarters. This indicates a trend toward faster payments to suppliers.
- Relationship Between Metrics
- The inverse relationship between the payables turnover ratio and the average payment period is aligned with typical financial behavior. As the payables turnover ratio increases, the average number of days taken to pay suppliers decreases. This points to an improved cash conversion cycle and potentially stronger supplier relationships or changing credit terms.
- Overall Interpretation
- The data suggests that the company initially extended its payables payment period significantly, reflected by a lower turnover ratio and higher days payable outstanding. However, over time, the company appears to have accelerated its payment cycle, improving liquidity management and possibly gaining better trade credit terms. The stabilization of these metrics in the recent quarters indicates a consistent approach to managing payables efficiently.