Autoliv Inc (ALV)

Payables turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Cost of revenue	US$ in thousands	9,154,000	7,886,000	7,161,000	6,708,500	7,430,500
Payables	US$ in thousands	1,978,000	1,693,000	1,129,000	1,227,000	941,000
Payables turnover		4.63	4.66	6.34	5.47	7.90

December 31, 2023 calculation

Payables turnover = Cost of revenue ÷ Payables
= $9,154,000K ÷ $1,978,000K
= 4.63

Autoliv Inc.'s payables turnover ratio has shown a declining trend over the past five years. The ratio decreased from 7.40 in 2019 to 4.38 in 2023. This indicates that the company is taking longer to pay its suppliers compared to previous years. A lower payables turnover ratio may suggest inefficiencies in the company's management of its accounts payable or potential liquidity issues. Further analysis is recommended to understand the reasons behind this trend and its implications for Autoliv Inc.'s financial health and working capital management.