NXP Semiconductors NV (NXPI)

Payables turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Cost of revenue	US$ in thousands	5,723,000	5,688,000	4,996,000	4,377,000	4,259,000
Payables	US$ in thousands	1,164,000	1,185,000	1,252,000	991,000	944,000
Payables turnover		4.92	4.80	3.99	4.42	4.51

December 31, 2023 calculation

Payables turnover = Cost of revenue ÷ Payables
= $5,723,000K ÷ $1,164,000K
= 4.92

The payables turnover ratio for NXP Semiconductors NV has fluctuated over the past 5 years. In 2023, the company's payables turnover ratio improved to 4.92, indicating that the company converted its accounts payable into purchases almost 5 times during the year. This suggests that NXP Semiconductors NV is managing its accounts payable more efficiently compared to the previous years.

In 2022, the payables turnover ratio was 3.52, lower than in 2023 but higher than the ratio in 2021. This implies that the company took longer to pay its suppliers in 2022 compared to 2023, but still showed an improvement compared to the previous year.

The payables turnover ratio for 2021 was 3.99, slightly lower than in 2020 but relatively consistent with the prior year's performance. The ratio indicates that NXP Semiconductors NV was able to convert its accounts payable into purchases about 4 times during the year.

In 2020, the payables turnover ratio was 4.42, showing a decrease compared to 2019. This may imply that the company took slightly longer to pay its suppliers in 2020 than in the previous year.

Finally, in 2019, the payables turnover ratio was 4.51, indicating that NXP Semiconductors NV was able to convert its accounts payable into purchases about 4.5 times during the year.

Overall, the trend in NXP Semiconductors NV's payables turnover ratio over the past 5 years shows some variability, but the recent improvement in 2023 suggests that the company may be managing its accounts payable more efficiently and effectively compared to previous years.