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', PCOR's payables turnover was 6.35, indicating how promptly the company pays its suppliers. Industry average for Computer Software: Prepackaged Software in '2021' stood at 3.77.
• In '2022', PCOR's payables turnover was 9.97, indicating how promptly the company pays its suppliers. The increase since '2021' reflects strengthening financial performance. 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', PCOR's payables turnover was 12.71, indicating how promptly the company pays its suppliers. The increase since '2022' reflects strengthening financial performance. Industry average for Computer Software: Prepackaged Software in '2023' stood at 3.81. Industry average declined by 0.16 from previous year.
• In '2024', PCOR's payables turnover was 8.88, indicating how promptly the company pays its suppliers. The decline from '2023' may indicate some operational or financial challenges. Industry average for Computer Software: Prepackaged Software in '2024' stood at 3.86. Industry average increased by 0.05 compared to previous year.
Overall, PCOR's payables turnover has been volatile but showed an upward trend over the past 4 years.

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

Good Range: Ranges 5-15 depending on industry.