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', CVLG's payables turnover was 30.05, indicating how promptly the company pays its suppliers. Industry average for Trucking Freight/Courier Services in '2021' stood at 6.54.
• In '2022', CVLG's payables turnover was 32.31, indicating how promptly the company pays its suppliers. The increase since '2021' reflects strengthening financial performance. Industry average for Trucking Freight/Courier Services in '2022' stood at 5.09. Industry average declined by 1.45 from previous year.
• In '2023', CVLG's payables turnover was 28.02, indicating how promptly the company pays its suppliers. The decline from '2022' may indicate some operational or financial challenges. Industry average for Trucking Freight/Courier Services in '2023' stood at 5.85. Industry average increased by 0.75 compared to previous year.
• In '2024', CVLG's payables turnover was 28.94, indicating how promptly the company pays its suppliers. The increase since '2023' reflects strengthening financial performance. Industry average for Trucking Freight/Courier Services in '2024' stood at 5.20. Industry average declined by 0.65 from previous year.
Overall, CVLG's payables turnover has consistently declined during the past 4 years.

Formula: Payables Turnover = Cost of Goods Sold / Average Accounts Payable

Good Range: Ranges 5-15 depending on industry.