Liberty Oilfield Services Inc (LBRT)

Payables turnover

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Cost of revenue (ttm)	US$ in thousands	3,589,816	3,691,201	3,705,986	3,569,277	3,334,903	3,063,834	2,764,495	2,560,302	2,378,077	1,963,806	1,497,411	1,063,273	962,690	1,076,706	1,364,858	1,699,124	1,724,005	1,756,358	1,750,950	1,780,688
Payables	US$ in thousands	293,733	358,595	368,723	412,498	326,818	378,480	311,404	333,599	288,801	228,997	182,876	184,799	193,338	70,009	27,381	108,136	117,613	91,019	108,102	122,673
Payables turnover		12.22	10.29	10.05	8.65	10.20	8.10	8.88	7.67	8.23	8.58	8.19	5.75	4.98	15.38	49.85	15.71	14.66	19.30	16.20	14.52

December 31, 2023 calculation

Payables turnover = Cost of revenue (ttm) ÷ Payables
= $3,589,816K ÷ $293,733K
= 12.22

The payables turnover for Liberty Energy Inc has shown a generally increasing trend over the past eight quarters. The ratio increased from 7.26 in Q1 2022 to 11.40 in Q4 2023. This indicates that the company is paying off its accounts payable more frequently and efficiently.

A higher payables turnover ratio suggests that the company is managing its trade payables more effectively, either by negotiating better payment terms or improving working capital management. This could lead to improved liquidity and cash flow position for the company.

Overall, the increasing trend in the payables turnover ratio for Liberty Energy Inc reflects positively on the company's ability to manage its accounts payable efficiently over the analyzed period.