APA Corporation (APA)
Payables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 569,000 | 607,000 | 702,000 | 4,953,000 | 3,818,000 |
| Payables | US$ in thousands | 560,000 | 646,000 | 651,000 | 444,000 | 695,000 |
| Payables turnover | 1.02 | 0.94 | 1.08 | 11.16 | 5.49 |
December 31, 2023 calculation
Payables turnover = Cost of revenue ÷ Payables
= $569,000K ÷ $560,000K
= 1.02
The payables turnover ratio for APA Corporation has been consistently calculated as 0.00 from 2019 to 2023. This indicates that the company is not efficiently managing its accounts payable during these years. A low or zero payables turnover ratio may suggest that the company is taking a longer time to pay its suppliers or creditors, which could potentially strain relationships and impact credit terms. It may also indicate liquidity issues within the company, as it is holding onto its payables for longer periods, potentially affecting cash flow. Further investigation into the company's payment practices and financial health is recommended to better understand the reasons behind the consistently low payables turnover ratio.
Peer comparison
Dec 31, 2023