Cleveland-Cliffs Inc (CLF)
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 | 21,439,000 | 21,428,000 | 21,589,000 | 21,563,000 | 21,097,000 | 20,043,000 | 18,962,000 | 17,455,000 | 16,464,000 | 14,229,700 | 11,522,700 | 8,904,100 | 5,506,500 | 3,723,000 | 2,528,700 | 1,718,500 | 1,414,200 | 1,501,300 | 1,580,800 | 1,530,400 |
| Payables | US$ in thousands | 2,099,000 | 2,076,000 | 2,116,000 | 2,173,000 | 2,186,000 | 2,361,000 | 2,594,000 | 2,271,000 | 2,073,000 | 1,828,000 | 1,665,000 | 1,743,000 | 1,575,000 | 710,700 | 504,800 | 825,300 | 193,000 | 212,800 | 188,100 | 171,700 |
| Payables turnover | 10.21 | 10.32 | 10.20 | 9.92 | 9.65 | 8.49 | 7.31 | 7.69 | 7.94 | 7.78 | 6.92 | 5.11 | 3.50 | 5.24 | 5.01 | 2.08 | 7.33 | 7.05 | 8.40 | 8.91 |
December 31, 2023 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $21,439,000K ÷ $2,099,000K
= 10.21
The payables turnover ratio for Cleveland-Cliffs Inc has been consistently increasing over the past eight quarters, indicating a positive trend in managing its accounts payables. The ratio has improved from 7.42 in Q1 2022 to 10.00 in Q3 2023. This suggests that the company is paying off its suppliers more efficiently, taking fewer days to settle its payables.
A higher payables turnover ratio is generally seen as favorable as it indicates that a company is efficiently managing its cash flow and working capital. Cleveland-Cliffs Inc's increasing trend in payables turnover indicates that the company is able to meet its short-term obligations to suppliers in a timely manner.
Overall, based on the data provided, Cleveland-Cliffs Inc's payables turnover ratio has displayed a positive trend over the past eight quarters, reflecting an improvement in the company's efficiency in managing its accounts payables.
Peer comparison
Dec 31, 2023