XPO Logistics Inc (XPO)
Payables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 3,885,000 | 6,145,000 | 10,780,000 | 10,867,000 | 10,963,000 |
| Payables | US$ in thousands | 532,000 | 521,000 | 519,000 | 854,000 | 1,157,000 |
| Payables turnover | 7.30 | 11.79 | 20.77 | 12.72 | 9.48 |
December 31, 2023 calculation
Payables turnover = Cost of revenue ÷ Payables
= $3,885,000K ÷ $532,000K
= 7.30
The payables turnover ratio for XPO Inc has fluctuated over the past five years. In 2023, the payables turnover ratio was 3.31, significantly lower than the ratios in 2022 (9.49) and 2021 (8.06). This decrease indicates that XPO Inc took longer to pay its suppliers in 2023 compared to the previous two years. However, the ratio in 2023 was still higher than in 2020 (6.26) and 2019 (7.18), suggesting an improvement in the management of accounts payable in those years. Overall, XPO Inc's payables turnover ratio has shown variability, with the need for further analysis to understand the underlying reasons for these fluctuations.
Peer comparison
Dec 31, 2023