Allegiant Travel Company (ALGT)
Payables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 1,054,190 | 885,245 | 1,213,820 | 1,135,560 | 1,113,040 |
| Payables | US$ in thousands | 54,484 | 58,335 | 43,566 | 34,197 | 27,667 |
| Payables turnover | 19.35 | 15.18 | 27.86 | 33.21 | 40.23 |
December 31, 2023 calculation
Payables turnover = Cost of revenue ÷ Payables
= $1,054,190K ÷ $54,484K
= 19.35
The payables turnover ratio for Allegiant Travel was consistently reported as 0.00 from 2019 to 2023. A payables turnover ratio of 0.00 indicates that the company was not able to effectively manage its accounts payable during these periods. This could be a concerning sign as it suggests that Allegiant Travel was not efficiently utilizing its supplier credit terms or managing its payables in a manner that would support healthy working capital management. Further analysis and investigation into the company's payables management practices and financial health are recommended to understand the underlying reasons for the consistently low payables turnover ratio.
Peer comparison
Dec 31, 2023