Middlesex Water Company (MSEX)

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	116,038	50,752	50,199	49,245	48,339	44,975	43,899	43,401	43,156	40,448	40,606	40,569	40,377	38,355	38,038	37,829	37,699	36,150	36,256	36,298
Payables	US$ in thousands	27,618	28,604	28,265	27,623	24,847	25,873	24,249	18,059	21,125	17,340	23,100	24,414	30,443	24,860	22,803	24,116	23,306	20,178	18,056	13,976
Payables turnover		4.20	1.77	1.78	1.78	1.95	1.74	1.81	2.40	2.04	2.33	1.76	1.66	1.33	1.54	1.67	1.57	1.62	1.79	2.01	2.60

December 31, 2023 calculation

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

Based on the data provided for Middlesex Water Co.'s payables turnover ratio, it is evident that the ratio is consistently reported as 0.00 across all quarters in the given timeframe. This consistently low or zero value indicates that the company's payables turnover is not operating at an optimal level.

A payables turnover ratio of 0.00 suggests that the company is not efficiently managing its accounts payable or is taking an extended period to pay its suppliers. A low or zero payables turnover ratio could indicate potential liquidity issues, strained supplier relationships, or inefficiencies in the company's payment processes.

Further investigation and analysis would be required to determine the specific reasons behind the consistently low payables turnover ratio. It is crucial for the company to assess and potentially improve its payables management practices to enhance operational efficiency and strengthen its financial health.