Tidewater Inc (TDW)

Payables turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Cost of revenue	US$ in thousands	836,498	626,906	462,922	539,951	479,655
Payables	US$ in thousands	44,931	38,946	20,788	16,981	27,501
Payables turnover		18.62	16.10	22.27	31.80	17.44

December 31, 2023 calculation

Payables turnover = Cost of revenue ÷ Payables
= $836,498K ÷ $44,931K
= 18.62

The payables turnover ratio for Tidewater Inc has fluctuated over the past five years. The ratio indicates how many times a company pays off its accounts payable during a specific period. A higher payables turnover ratio generally suggests that the company is efficient in managing its payables by paying them off quickly.

In 2023, the payables turnover ratio was 18.62, showing an increase from the previous year. This may imply that Tidewater Inc is paying off its suppliers faster in 2023 compared to 2022. However, it is essential to consider the industry norms and company's payment policies to assess the efficiency of payables management effectively.

In 2021, the payables turnover ratio was relatively high at 22.27, indicating that the company was efficiently managing its payables by paying them off multiple times during the year. Conversely, in 2020, the ratio spiked significantly to 31.80, suggesting an even more rapid payment of accounts payable during that year.

Overall, while Tidewater Inc's payables turnover ratios have varied over the years, the company appears to have generally maintained a decent level of efficiency in managing its payables by paying them off in a timely manner. Further analysis and comparison with industry peers would provide a more comprehensive assessment of Tidewater Inc's payables management practices.