Cogent Communications Group Inc (CCOI)
Activity ratios
Short-term
Turnover ratios
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | — | — | — | — | — | 7.56 | 6.02 | 4.56 | 4.38 | 4.16 | 6.01 | 7.49 | 25.11 | 73.06 | — | — | — | — | — | — |
| Receivables turnover | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Payables turnover | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Working capital turnover | 4.53 | 3.66 | 2.85 | 20.05 | 6.71 | 3.64 | 2.34 | 3.00 | 2.44 | 2.04 | 1.74 | 1.95 | 1.80 | 1.74 | 1.61 | — | 1.57 | 1.49 | 1.41 | 1.51 |
Inventory Turnover:
The inventory turnover ratio for Cogent Communications Group Inc has shown a declining trend over the analysis period, from 73.06 in September 2021 to 4.38 in December 2022. This indicates that the company has been able to turn over its inventory less frequently, which could imply inefficiencies in inventory management or slower sales.
Receivables Turnover:
The receivables turnover ratio data is not available for the company for the entire period analyzed. As a result, it is challenging to evaluate the efficiency of Cogent Communications Group Inc in collecting its accounts receivable or how quickly it is converting its credit sales into cash.
Payables Turnover:
Similar to receivables turnover, payables turnover data is not provided for the company in the data set. Without this information, it is difficult to assess how well Cogent Communications Group Inc manages its trade payables or the speed at which it pays its suppliers.
Working Capital Turnover:
The working capital turnover ratio has exhibited fluctuations, with a significant increase from 1.51 in March 2020 to 20.05 in March 2024. This suggests that the company has been more effective in utilizing its working capital to generate revenue over time. The peak in March 2024 indicates a substantial improvement in the efficiency of working capital utilization, potentially due to better management of current assets and liabilities.
In summary, while the working capital turnover ratio has demonstrated a positive trend, the declining inventory turnover ratio may raise concerns about inventory management practices within Cogent Communications Group Inc. The absence of data for receivables and payables turnover ratios limits a comprehensive assessment of the company's overall efficiency in managing its working capital cycle.
Average number of days
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | — | — | — | — | — | 48.25 | 60.67 | 80.02 | 83.40 | 87.75 | 60.77 | 48.76 | 14.54 | 5.00 | — | — | — | — | — | — |
| Days of sales outstanding (DSO) | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
Based on the provided data for Cogent Communications Group Inc, the activity ratios can be analyzed as follows:
1. Days of Inventory on Hand (DOH): The DOH ratio indicates the number of days it takes for a company to turn its inventory into sales. Cogent Communications' DOH fluctuated over the period, ranging from 5.00 days to 87.75 days. The trend shows an increase in inventory holding days from 5.00 days in September 2021 to 87.75 days in September 2022, but then a decline to 48.25 days by September 2023. The higher the DOH, the longer inventory sits before being sold, which can tie up capital and indicate potential inefficiencies in inventory management.
2. Days of Sales Outstanding (DSO): The DSO ratio reflects how many days it takes for a company to collect its accounts receivable. The data shows that DSO was unavailable for the entire period, indicating that details on the collection period of accounts receivable are not provided. However, a high DSO may suggest a potential risk of late payments impacting cash flow.
3. Number of Days of Payables: The number of days of payables measures how long a company takes to pay its suppliers. The data indicates that no information on the payables period is available for the period under review. This makes it challenging to gauge how effectively Cogent Communications manages its trade payables.
Overall, while the DOH ratio provides insights into inventory management efficiency, the lack of data on DSO and payables periods limits a comprehensive assessment of Cogent Communications' working capital management and cash flow cycles. Monitoring these activity ratios over time can help evaluate the company's operational effectiveness and identify areas for improvement.
Long-term
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Fixed asset turnover | — | — | — | — | — | — | 0.43 | 1.06 | 1.10 | 1.01 | 1.28 | 1.06 | 1.29 | 1.05 | 1.07 | 1.35 | 1.32 | 1.34 | 1.37 | 1.50 |
| Total asset turnover | 0.33 | 0.33 | 0.32 | 0.33 | 0.27 | 0.28 | 0.22 | 0.60 | 0.59 | 0.58 | 0.58 | 0.61 | 0.60 | 0.58 | 0.57 | 0.67 | 0.57 | 0.56 | 0.56 | 0.61 |
The Fixed Asset Turnover ratio of Cogent Communications Group Inc has fluctuated over the years, starting at 1.50 in March 2020, declining to 0.43 in June 2023, and then remaining unchanged at 0.43 until December 2024. The decrease in the ratio indicates that the company's revenue generated per dollar of fixed assets has decreased over time, which could signify inefficiency in utilizing its fixed assets to generate sales.
Similarly, the Total Asset Turnover ratio of the company started at 0.61 in March 2020, experienced a significant drop to 0.22 in June 2023, and gradually improved to 0.33 by December 2024. The decline in total asset turnover suggests that Cogent Communications Group Inc has struggled to generate revenue in relation to its total assets, although there has been some recovery in recent periods.
Overall, the long-term activity ratios of Cogent Communications Group Inc indicate varying levels of efficiency and effectiveness in utilizing both fixed and total assets to generate sales over the years, highlighting the importance of closely monitoring asset turnover for assessing operational performance and resource utilization within the company.