Caesars Entertainment Corporation (CZR)
Payables turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 3,777,000 | 3,627,000 | 4,363,000 | 3,901,000 | 1,913,000 |
| Payables | US$ in thousands | 296,000 | 408,000 | 314,000 | 254,000 | 167,000 |
| Payables turnover | 12.76 | 8.89 | 13.89 | 15.36 | 11.46 |
December 31, 2024 calculation
Payables turnover = Cost of revenue ÷ Payables
= $3,777,000K ÷ $296,000K
= 12.76
In examining Caesars Entertainment Corporation's payables turnover ratio over the past five years, we observe fluctuations in the efficiency of the company's payables management. The payables turnover ratio indicates how many times a company pays off its suppliers within a given period.
From December 31, 2020, to December 31, 2021, there was a notable increase in the payables turnover ratio from 11.46 to 15.36. This suggests that the company was managing its accounts payable more efficiently and paying off its suppliers at a faster rate.
However, in the subsequent years, there were fluctuations in the payables turnover ratio. By December 31, 2022, the ratio decreased slightly to 13.89, which may indicate a slowdown in the payment of suppliers. This was followed by a more significant decrease to 8.89 by December 31, 2023, possibly signaling extended payment periods or financial challenges affecting the company's ability to settle its payables promptly.
There was a partial recovery by December 31, 2024, with the payables turnover ratio increasing to 12.76. Nevertheless, it remained below the levels seen in 2021, suggesting ongoing variability in the company's payables management practices.
Overall, the fluctuations in Caesars Entertainment Corporation's payables turnover ratio imply varying degrees of effectiveness in managing its accounts payable and relationships with suppliers over the analyzed period. Further analysis, in conjunction with other financial metrics, would be necessary to gain a comprehensive understanding of the company's overall financial health and operational efficiency.
Peer comparison
Dec 31, 2024