HCA Holdings Inc (HCA)
Payables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 29,986,000 | 28,270,000 | 27,339,000 | 24,396,000 | 24,023,000 |
| Payables | US$ in thousands | 4,233,000 | 4,239,000 | 4,111,000 | 3,535,000 | 2,905,000 |
| Payables turnover | 7.08 | 6.67 | 6.65 | 6.90 | 8.27 |
December 31, 2023 calculation
Payables turnover = Cost of revenue ÷ Payables
= $29,986,000K ÷ $4,233,000K
= 7.08
Based on the data provided for HCA Healthcare Inc, the payables turnover ratio for the past five years has been consistently reported as 0.00. This indicates that the company is not effectively utilizing its accounts payable to facilitate its operations or manage its cash flow efficiently. A payables turnover ratio of 0.00 suggests that the company may not be effectively managing its supplier relationships or optimizing its working capital. It raises concerns about the company's ability to negotiate favorable payment terms with its suppliers and may indicate potential liquidity or operational inefficiencies. Further analysis and comparison with industry benchmarks are recommended to gain a deeper understanding of HCA Healthcare Inc's financial performance and working capital management.
Peer comparison
Dec 31, 2023