Ormat Technologies Inc (ORA)

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	773,896	751,437	720,412	680,878	680,487	636,606	622,779	610,978	584,540	502,064	485,054	477,414	429,067	442,666	452,753	462,157	476,721	458,437	461,121	463,040
Payables	US$ in thousands	140,694	—	—	—	77,551	—	—	—	75,164	—	—	—	75,779	—	—	—	73,271	—	—	—
Payables turnover		5.50	—	—	—	8.77	—	—	—	7.78	—	—	—	5.66	—	—	—	6.51	—	—	—

December 31, 2023 calculation

Payables turnover = Cost of revenue (ttm) ÷ Payables
= $773,896K ÷ $140,694K
= 5.50

The payables turnover ratio for Ormat Technologies Inc was 4.02 in Q4 2023 and 6.00 in Q4 2022. The ratio indicates that Ormat Technologies Inc is paying off its accounts payable approximately 4.02 times per quarter in Q4 2023, compared to 6 times per quarter in Q4 2022. A higher payables turnover ratio generally suggests that the company is managing its accounts payable efficiently, as it is paying off its suppliers more quickly. On the other hand, a lower ratio could indicate that the company is taking longer to pay its suppliers, possibly to hold on to cash for other uses or due to financial constraints. Overall, a declining trend in the payables turnover ratio could warrant further investigation into the company's liquidity management and supplier relationships.