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', LDTC's payables turnover was 0.72, indicating how promptly the company pays its suppliers. Industry average for Computer Software: Prepackaged Software in '2021' stood at 3.77.
• In '2022', LDTC's payables turnover was 0.01, indicating how promptly the company pays its suppliers. The decline from '2021' may indicate some operational or financial challenges. Industry average for Computer Software: Prepackaged Software in '2022' stood at 3.98. Industry average increased by 0.21 compared to previous year.
• In '2023', LDTC's payables turnover was 0.00, indicating how promptly the company pays its suppliers. The decline from '2022' may indicate some operational or financial challenges. Industry average for Computer Software: Prepackaged Software in '2023' stood at 3.81. Industry average declined by 0.16 from previous year.
• In '2024', LDTC's payables turnover was 0.00, indicating how promptly the company pays its suppliers. The figure remained stable compared to '2023'. Industry average for Computer Software: Prepackaged Software in '2024' stood at 3.86. Industry average increased by 0.05 compared to previous year.
Overall, LDTC's payables turnover has been volatile but showed a downward trend over the past 4 years.

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

Good Range: Ranges 5-15 depending on industry.