Middlesex Water Company (MSEX)

Payables turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Cost of revenue	US$ in thousands	116,038	48,337	43,159	40,376	37,698
Payables	US$ in thousands	27,618	24,847	21,125	30,443	23,306
Payables turnover		4.20	1.95	2.04	1.33	1.62

December 31, 2023 calculation

Payables turnover = Cost of revenue ÷ Payables
= $116,038K ÷ $27,618K
= 4.20

The payables turnover ratio for Middlesex Water Co. has been consistently reported as 0.00 for the years ending December 31st, from 2019 to 2023. A payables turnover ratio of 0.00 indicates that the company is not effectively managing its accounts payable. This could be due to various reasons such as extended payment terms with suppliers, inadequate cash flow management, or inventory management issues. The lack of movement in this ratio over the years may suggest a consistent pattern of inefficiency in managing the company's payables. Further analysis of the company's financial and operational practices is recommended to address this concerning trend and improve the payables turnover performance.