H2O America (HTO)

The data indicates that H2O America’s number of days of payables has experienced fluctuations over the observed period from December 31, 2020, to December 31, 2024. Specifically, the number of days of payables decreased from 50.34 days at the end of 2020 to 43.48 days at the end of 2021, reflecting a shortening of the payables period by approximately 6.86 days. This decline continued into 2022, with the payables period further decreasing to 40.97 days, amounting to a reduction of approximately 2.51 days from 2021.

However, starting in 2023, the trend reversed, with the number of days of payables increasing significantly to 59.71 days by the end of that year. This represents an extension of the payables period by roughly 18.74 days compared to 2022. The upward trend persisted into 2024, with the payables period reaching 63.51 days, an increase of approximately 3.80 days from 2023.

Overall, the analysis highlights a noticeable contraction in the payables period from 2020 through 2022, suggesting possibly improved payment efficiencies or stricter credit terms during that period. Conversely, the substantial increase in 2023 and 2024 suggests a strategic or operational shift that resulted in longer accounts payable cycles, possibly indicating extended supplier credit terms, delays in payments, or aligning with changes in financial or supply chain strategies. Such variations can impact liquidity management, cash flow timing, and supplier relationships.

Peer comparison

Dec 31, 2024