Kinder Morgan Inc (KMI)

Number of days of payables

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Payables turnover		4.31	7.09	7.23	6.15	4.54
Number of days of payables	days	84.71	51.51	50.52	59.38	80.39

December 31, 2023 calculation

Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 4.31
= 84.71

Analyzing Kinder Morgan Inc's number of days of payables over the past five years reveals fluctuations in the company's payment practices to its suppliers. The number of days of payables was 100.97 days as of December 31, 2023, representing an increase compared to the previous year. This indicates that the company is taking longer to pay its bills, potentially signaling cash flow challenges or a strategic shift in managing working capital.

In comparison, the number of days of payables was 56.95 days as of December 31, 2022, significantly lower than the prior year. This suggests that Kinder Morgan Inc was able to settle its payables more quickly in 2022, potentially indicating improved cash flow management or negotiating better payment terms with suppliers.

Looking further back, the number of days of payables on December 31, 2021, was 70.77 days, showing a moderate increase from the previous year. On December 31, 2020, the number of days of payables was relatively high at 120.04 days, indicating prolonged payment cycles or possible liquidity constraints. In 2019, the figure stood at 102.24 days, reflecting a similar trend to 2023 in terms of extended payables.

Overall, the trend in Kinder Morgan Inc's number of days of payables suggests fluctuations in the company's payment behavior, which may be influenced by various internal and external factors impacting its financial operations and cash flow management strategies.