Targa Resources Inc (TRGP)
Number of days of payables
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Payables turnover | 7.28 | 12.05 | 10.41 | 9.55 | 6.41 | |
| Number of days of payables | days | 50.15 | 30.29 | 35.05 | 38.22 | 56.96 |
December 31, 2023 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 7.28
= 50.15
The number of days of payables for Targa Resources Corp has been fluctuating over the past five years. In 2023, the company took approximately 53.84 days on average to pay its outstanding liabilities to its suppliers, which represents an increase from 31.32 days in 2022 and 37.28 days in 2021. This suggests that Targa Resources Corp extended its payment period in 2023 compared to the previous years. Notably, in 2020, the number of days of payables was relatively high at 59.61 days, indicating a longer payment cycle that year. Unfortunately, data for 2019 is not available for comparison.
Overall, the increasing trend in the number of days of payables from 2021 to 2023 may indicate that Targa Resources Corp has been taking more time to settle its payables, potentially leveraging its payment terms with suppliers to manage its cash flow more effectively. It is important to monitor this metric in the future to assess the company's liquidity position and efficient management of working capital.
Peer comparison
Dec 31, 2023