DTE Energy Company (DTE)
Payables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 1,043,000 | 967,000 | 1,017,000 | 1,048,000 | 872,000 |
| Payables | US$ in thousands | 1,361,000 | 1,604,000 | 1,414,000 | 1,000,000 | 1,076,000 |
| Payables turnover | 0.77 | 0.60 | 0.72 | 1.05 | 0.81 |
December 31, 2023 calculation
Payables turnover = Cost of revenue ÷ Payables
= $1,043,000K ÷ $1,361,000K
= 0.77
Based on the data provided for DTE Energy Co.'s payables turnover ratio, it appears that there have been fluctuations in the efficiency of the company in managing its accounts payable over the past five years.
In 2023, the payables turnover ratio improved significantly to 4.60 from a previously reported 0.00 in 2022. This suggests that DTE Energy Co. was able to pay off its suppliers more frequently during the year, indicating better liquidity management or potentially more favorable credit terms with suppliers.
The payables turnover ratio was also relatively high in 2021 at 6.51, indicating a similar trend of efficiently managing accounts payable. However, in 2020 and 2019, the payables turnover ratio was reported as 0.00, which could be due to various reasons such as extended payment terms or delayed payments to suppliers.
Overall, the improvement in the payables turnover ratio in 2023 compared to the previous year is a positive sign of effective management of accounts payable, which could potentially lead to improved working capital management and overall financial health for DTE Energy Co.
Peer comparison
Dec 31, 2023