Edison International (EIX)
Payables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 47,000 | 42,000 | 39,000 | -168,000 | 107,000 |
| Payables | US$ in thousands | 1,983,000 | 2,359,000 | 2,002,000 | 1,980,000 | 1,752,000 |
| Payables turnover | 0.02 | 0.02 | 0.02 | -0.08 | 0.06 |
December 31, 2023 calculation
Payables turnover = Cost of revenue ÷ Payables
= $47,000K ÷ $1,983,000K
= 0.02
The payables turnover ratio for Edison International has been consistently calculated as 0.00 for the past five years, indicating that the company is not effectively managing its accounts payable. A low or zero payables turnover ratio can suggest that the company is not efficiently utilizing its suppliers' credit terms or that there may be issues with the company's payment processes. Such a low ratio may also indicate potential cash flow issues or difficulties in managing working capital effectively. Further investigation and analysis of the company's accounts payable practices and liquidity position may be warranted to understand the underlying reasons for this consistently low ratio and to assess the overall financial health of the company.
Peer comparison
Dec 31, 2023