Nextera Energy Inc (NEE)

Number of days of payables

		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
Payables turnover		3.33	2.93	2.37	3.07	2.55	2.22	2.45	2.58	2.81	2.77	3.37	3.61	3.91	3.44	3.95	4.48	3.39	3.74	4.34	5.20
Number of days of payables	days	109.77	124.40	154.04	119.08	143.14	164.18	148.88	141.57	130.10	131.90	108.19	101.18	93.39	106.22	92.37	81.39	107.59	97.62	84.19	70.19

December 31, 2023 calculation

Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 3.33
= 109.77

Based on the data provided, NextEra Energy Inc's number of days of payables has fluctuated over the past eight quarters, ranging from a low of 368.85 days in Q2 2023 to a high of 568.80 days in Q4 2023. The company's payables turnover period seems to have shown a slight improvement in Q2 2023 compared to the previous quarters, indicating that the company takes approximately 368.85 days to pay off its suppliers or creditors on average. However, the significant increase to 568.80 days in Q4 2023 raises concerns about the company's liquidity and its ability to manage its payment obligations efficiently.

It is important for analysts to monitor the trend of days of payables over time as it can provide insights into the company's liquidity position, working capital management, and supplier relationships. A longer number of days of payables may indicate that the company is stretching its payment terms with suppliers, which could potentially strain relationships or signal financial distress. Conversely, a shorter number of days may suggest efficient working capital management but could also imply missed opportunities to optimize cash flow.

Overall, NextEra Energy Inc's number of days of payables has varied significantly in recent quarters, and further analysis of the company's financial performance and cash flow management practices is necessary to fully assess the implications of these fluctuations.