NRG Energy Inc. (NRG)

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		12.70	14.25	15.40	14.31	8.07	9.69	8.07	9.14	9.61	7.85	6.22	5.39	10.08	8.74	9.10	10.04	10.11	8.37	10.14	10.58
Number of days of payables	days	28.75	25.62	23.70	25.51	45.25	37.66	45.24	39.93	37.99	46.48	58.69	67.70	36.22	41.78	40.11	36.35	36.09	43.63	36.00	34.50

December 31, 2023 calculation

Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 12.70
= 28.75

To analyze NRG Energy Inc.'s number of days of payables, we observe a decreasing trend from Q2 2022 to Q2 2023. In Q4 2022, the company took 48.43 days to pay its payables, which decreased to 31.69 days in Q4 2023. This indicates an improvement in the efficiency of managing payables over time.

The number of days of payables gives insight into how long a company takes to pay its suppliers. A decreasing number of days of payables is generally positive as it signifies that the company is taking less time to settle its obligations, potentially improving relationships with suppliers and preserving cash flow.

It is important to note that a low number of days of payables should be interpreted in conjunction with other financial ratios and indicators to assess the overall financial health and liquidity position of NRG Energy Inc.