Century Aluminum Company (CENX)
Payables turnover
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 2,139,800 | 2,219,300 | 2,340,700 | 2,775,000 | 2,929,400 | 2,977,300 | 2,829,400 | 2,339,300 | 2,148,000 | 1,927,900 | 1,806,900 | 1,706,000 | 1,641,600 | 1,680,100 | 1,711,800 | 1,774,100 | 1,860,500 | 1,977,900 | 2,019,800 | 1,978,900 |
| Payables | US$ in thousands | 249,500 | 221,400 | 191,200 | 149,200 | 167,300 | 170,900 | 229,500 | 202,800 | 186,500 | 165,300 | 133,600 | 116,200 | 106,100 | 85,600 | 87,700 | 87,100 | 97,100 | 112,000 | 98,300 | 113,200 |
| Payables turnover | 8.58 | 10.02 | 12.24 | 18.60 | 17.51 | 17.42 | 12.33 | 11.54 | 11.52 | 11.66 | 13.52 | 14.68 | 15.47 | 19.63 | 19.52 | 20.37 | 19.16 | 17.66 | 20.55 | 17.48 |
December 31, 2023 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $2,139,800K ÷ $249,500K
= 8.58
Century Aluminum Company's payables turnover has shown fluctuations over the past few quarters. The payables turnover ratio indicates how efficiently the company is managing its payments to suppliers. A higher payables turnover ratio suggests that the company is paying its suppliers more quickly.
In the recent quarter, the payables turnover was 8.58, which indicates that the company took approximately 8.58 times to pay off its accounts payable during that period. It is crucial to note that a lower payables turnover ratio may imply that the company is holding onto its payables for a longer time, which could potentially strain relationships with suppliers.
Looking at the trend over the past few quarters, the payables turnover has been fluctuating. It peaked at 20.55 in the first quarter of 2019 and hit a low of 8.58 in the last quarter of 2023. This variability may suggest changing payment policies or vendor relationships within the company.
Analyzing the differences in payables turnover ratios over time can provide insights into the company's liquidity and efficiency in managing its accounts payable. Further analysis and comparison with industry benchmarks can help in understanding the company's financial health and operational performance.
Peer comparison
Dec 31, 2023