Enphase Energy Inc (ENPH)
Payables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 1,232,400 | 1,356,260 | 827,627 | 428,444 | 403,088 |
| Payables | US$ in thousands | 116,164 | 125,085 | 113,767 | 72,609 | 57,474 |
| Payables turnover | 10.61 | 10.84 | 7.27 | 5.90 | 7.01 |
December 31, 2023 calculation
Payables turnover = Cost of revenue ÷ Payables
= $1,232,400K ÷ $116,164K
= 10.61
The payables turnover ratio of Enphase Energy Inc has shown varying trends over the past five years. In 2023, the payables turnover ratio was 10.61, slightly lower compared to the previous year's ratio of 10.84. This indicates that the company paid its suppliers approximately 10.61 times during the year, a slight decrease from the previous year.
Looking back further, the payables turnover ratio was 7.27 in 2021, showing a significant increase from 5.90 in 2020. This suggests that the company improved its ability to manage its accounts payable more efficiently in 2021. However, the ratio decreased in the following year, highlighting a potential slowdown in paying suppliers promptly.
Comparing the most recent ratio to that of 2019, where the ratio was 7.01, it is evident that the company has improved its efficiency in managing payables over the years. Overall, the fluctuations in the payables turnover ratio indicate changes in the company's payment practices and relationship with its suppliers.
Peer comparison
Dec 31, 2023