PPL Corporation (PPL)

Payables turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Cost of revenue	US$ in thousands	743,000	1,160,000	763,000	649,000	728,000
Payables	US$ in thousands	1,104,000	1,201,000	679,000	745,000	956,000
Payables turnover		0.67	0.97	1.12	0.87	0.76

December 31, 2023 calculation

Payables turnover = Cost of revenue ÷ Payables
= $743,000K ÷ $1,104,000K
= 0.67

PPL Corp's payables turnover has been showing an improving trend over the past five years. The payables turnover ratio increased from 1.50 in 2019 to 2.33 in 2023, indicating that the company is paying its suppliers more frequently. This suggests efficient management of trade payables and a shorter cash-to-cash cycle, which can positively impact the company's working capital management. Overall, the increasing trend in payables turnover reflects a more efficient utilization of supplier credit and potentially stronger bargaining power with suppliers.