Mueller Industries Inc (MLI)
Payables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 2,653,650 | 3,074,920 | 3,137,140 | 2,139,740 | 2,204,540 |
| Payables | US$ in thousands | 120,485 | 128,000 | 180,793 | 147,741 | 85,644 |
| Payables turnover | 22.02 | 24.02 | 17.35 | 14.48 | 25.74 |
December 31, 2023 calculation
Payables turnover = Cost of revenue ÷ Payables
= $2,653,650K ÷ $120,485K
= 22.02
The payables turnover ratio for Mueller Industries Inc has shown some fluctuations over the past five years. The ratio was 22.02 in 2023 compared to 24.02 in 2022, indicating a slight decrease in the speed at which the company pays its suppliers. However, it is important to note that a higher payables turnover ratio generally suggests that the company is managing its accounts payable effectively and efficiently.
Looking further back, the payables turnover ratio was 17.35 in 2021 and 14.48 in 2020, showing an improvement in the efficiency of paying suppliers during those years. The ratio peaked at 25.74 in 2019, indicating that Mueller Industries Inc was able to pay its suppliers even faster during that period.
Overall, the trend in the payables turnover ratio for Mueller Industries Inc suggests that the company has been effectively managing its accounts payable over the past five years, with some fluctuations in the speed of paying suppliers. Further analysis of the company's financial position and industry benchmarks would provide additional insights into the efficiency of its accounts payable management.
Peer comparison
Dec 31, 2023