Brf S.A.(Brfs) Financials: Payables Turnover Compared To Industry Average, Plus Other Key Ratios
Growth Trend (Last 5 Years)
Growth - payables turnover
This chart shows the historical trend of payables turnover for BRFS compared to its industry average over the recent years.
Ratio Definition and Interpretation
Name: Payables Turnover
Definition: Payables turnover shows how fast the company pays its suppliers for goods or services bought on credit. A high turnover means the company pays suppliers quickly, which may reflect strong cash flow or favorable terms. A very low turnover might mean the company is stretching payments to preserve cash — or possibly experiencing financial strain.
Interpretation:
• In '2021', BRFS's payables turnover was 2.69, indicating how promptly the company pays its suppliers. Industry average for Meat/Poultry/Fish in '2021' stood at 5.16.
• In '2022', BRFS's payables turnover was 3.14, indicating how promptly the company pays its suppliers. The increase since '2021' reflects strengthening financial performance. Industry average for Meat/Poultry/Fish in '2022' stood at 6.40. Industry average increased by 1.24 compared to previous year.
• In '2023', BRFS's payables turnover was 3.22, indicating how promptly the company pays its suppliers. The increase since '2022' reflects strengthening financial performance. Industry average for Meat/Poultry/Fish in '2023' stood at 2.24. Industry average declined by 4.16 from previous year.
• In '2024', BRFS's payables turnover was 3.27, indicating how promptly the company pays its suppliers. The increase since '2023' reflects strengthening financial performance. Industry average for Meat/Poultry/Fish in '2024' stood at 3.27. Industry average increased by 1.03 compared to previous year.
Overall, BRFS's payables turnover has steadily improved over the past 4 years.
Formula: Payables Turnover = Cost of Goods Sold / Average Accounts Payable
Good Range: Ranges 5-15 depending on industry.