nVent Electric PLC (NVT)
Payables turnover
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 2,809,400 | 2,862,400 | 2,806,900 | 2,707,200 | 2,548,400 | 2,461,200 | 2,426,800 | 2,414,600 | 2,385,200 | 2,308,800 | 2,202,200 | 2,066,800 | 1,941,500 | 2,050,600 | 1,939,200 | 1,934,400 | 2,963,700 | 2,455,700 | 2,174,800 | 1,844,600 |
| Payables | US$ in thousands | 243,400 | 266,100 | 263,200 | 239,800 | 243,400 | 241,300 | 241,100 | 252,100 | 258,900 | 279,900 | 263,700 | 261,000 | 227,500 | 219,100 | 176,900 | 171,100 | 139,100 | 134,900 | 150,900 | 187,100 |
| Payables turnover | 11.54 | 10.76 | 10.66 | 11.29 | 10.47 | 10.20 | 10.07 | 9.58 | 9.21 | 8.25 | 8.35 | 7.92 | 8.53 | 9.36 | 10.96 | 11.31 | 21.31 | 18.20 | 14.41 | 9.86 |
September 30, 2024 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $2,809,400K ÷ $243,400K
= 11.54
nVent Electric PLC's payables turnover has shown a generally increasing trend over the past few quarters. The company's payables turnover ratio, which measures how quickly the company pays its suppliers, has been on an upward trajectory, indicating an improvement in the efficiency of managing its accounts payable.
The ratio has increased from 9.86 in December 2019 to 11.54 in September 2024, showing a positive trend in managing payables. A higher payables turnover ratio suggests that the company is able to pay off its suppliers more frequently within a given period, which may signal good relationships with suppliers or efficient cash management.
Overall, the increasing trend in nVent Electric PLC's payables turnover ratio indicates effective management of accounts payable and efficient working capital usage, which could have positive implications for the company's cash flow and financial health.
Peer comparison
Sep 30, 2024