Nextera Energy Inc (NEE)
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 | 6,188,000 | 5,783,000 | 4,528,000 | 4,463,000 | 4,488,000 | 4,204,000 | 4,104,000 | 4,053,000 | 3,866,000 | 3,863,000 | 3,836,000 | 3,795,000 | 3,873,000 | 3,876,000 | 3,975,000 | 3,978,000 | 3,908,000 | 3,881,000 | 3,737,000 | 3,687,000 |
| Payables | US$ in thousands | 1,861,000 | 1,971,000 | 1,911,000 | 1,456,000 | 1,760,000 | 1,891,000 | 1,674,000 | 1,572,000 | 1,378,000 | 1,396,000 | 1,137,000 | 1,052,000 | 991,000 | 1,128,000 | 1,006,000 | 887,000 | 1,152,000 | 1,038,000 | 862,000 | 709,000 |
| 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 |
December 31, 2023 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $6,188,000K ÷ $1,861,000K
= 3.33
NextEra Energy Inc's payables turnover ratio has fluctuated over the past eight quarters, ranging from 0.64 to 0.99. Payables turnover measures how effectively a company is managing its accounts payable by calculating how many times a company pays off its accounts payable during a period. A higher payables turnover ratio indicates that the company is paying off its suppliers more frequently.
In Q2 and Q3 of 2023, the payables turnover ratio increased to 0.99 and 0.87, respectively, which may suggest that the company is managing its accounts payable more efficiently during these periods. Conversely, in Q4 2023, the ratio decreased to 0.64, indicating a potential slowdown in the company's payment cycle compared to the previous quarter.
Overall, NextEra Energy Inc's payables turnover ratio has shown some variability in the recent quarters, and further analysis of the company's payment practices and supplier relationships may provide insights into the reasons behind these fluctuations.
Peer comparison
Dec 31, 2023