nVent Electric PLC (NVT)

Payables turnover

Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Cost of revenue US$ in thousands 2,707,200 2,414,600 2,066,800 1,934,400 1,844,600
Payables US$ in thousands 239,800 252,100 261,000 171,100 187,100
Payables turnover 11.29 9.58 7.92 11.31 9.86

December 31, 2023 calculation

Payables turnover = Cost of revenue ÷ Payables
= $2,707,200K ÷ $239,800K
= 11.29

nVent Electric plc's payables turnover ratio has fluctuated over the past five years. The ratio indicates how efficiently the company is managing its accounts payable. A higher ratio typically signifies that the company is paying its suppliers more quickly.

In 2023, the payables turnover ratio was 6.97, slightly lower compared to 2022 and 2019. This decrease could indicate that nVent Electric plc took slightly longer to pay its suppliers in 2023.

However, it is important to note that the payables turnover ratio in 2023 is still relatively high, suggesting that the company is managing its accounts payable efficiently. Overall, nVent Electric plc's payables turnover ratio has shown some variability over the years, but the company appears to have a good grasp on managing its payables effectively.


Peer comparison

Dec 31, 2023

Company name
Symbol
Payables turnover
nVent Electric PLC
NVT
11.29
John Bean Technologies Corporation
JBT
3.47
Pentair PLC
PNR
11.96