Comcast Corp (CMCSA)
Activity ratios
Short-term
Turnover ratios
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Inventory turnover | — | — | — | — | — |
| Receivables turnover | 9.06 | 8.80 | 9.58 | 9.69 | 9.03 |
| Payables turnover | 1.34 | 1.16 | 1.86 | 1.81 | 1.83 |
| Working capital turnover | — | — | — | — | — |
Based on the provided data, let's analyze Comcast Corp's activity ratios:
1. Inventory Turnover:
- The inventory turnover ratio for Comcast Corp is not available for the years 2020 to 2024. This may indicate that either the company operates with very low inventory levels or that inventory turnover is not a significant metric for its business model.
2. Receivables Turnover:
- Comcast Corp's receivables turnover has been relatively stable over the years, ranging from 8.80 to 9.69. This indicates that the company is efficient in collecting payments from its customers, with a higher turnover reflecting a quicker conversion of accounts receivable into cash.
3. Payables Turnover:
- The payables turnover ratio for Comcast Corp has fluctuated slightly from 1.16 to 1.86 over the years. A higher turnover ratio signifies a shorter time taken by the company to pay its suppliers, which could indicate effective credit management.
4. Working Capital Turnover:
- The working capital turnover ratio for Comcast Corp is not provided for the years 2020 to 2024. This ratio is used to measure the efficiency of a company in utilizing its working capital to generate sales; the absence of data may indicate limited insight into this aspect of the company's operations.
In summary, Comcast Corp demonstrates efficiency in managing its receivables and payables turnover, reflecting effective cash flow management practices. However, the lack of data for inventory turnover and working capital turnover limits the holistic assessment of the company's activity ratios.
Average number of days
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | — | — | — | — | — |
| Days of sales outstanding (DSO) | days | 40.30 | 41.47 | 38.09 | 37.66 | 40.41 |
| Number of days of payables | days | 271.60 | 313.63 | 196.62 | 201.33 | 199.41 |
Comcast Corp's activity ratios provide insight into how efficiently the company manages its inventory, collects receivables, and pays its suppliers.
1. Days of Inventory on Hand (DOH): The data shows that there is no specific information available for this ratio for the years 2020 to 2024. This could indicate that either Comcast manages its inventory swiftly and efficiently, or the ratio is not calculated or disclosed.
2. Days of Sales Outstanding (DSO): Comcast's DSO has been relatively stable over the years, ranging from 37.66 to 41.47 days. A lower DSO indicates that the company is collecting receivables quickly, which is a positive sign of effective credit policies and efficient collection processes.
3. Number of Days of Payables: The number of days of payables has shown some fluctuations over the years, with a significant increase in 2023. Payables days increased from 196.62 days in 2022 to 313.63 days in 2023, before decreasing to 271.60 days in 2024. A higher number of days of payables suggest that Comcast may be taking longer to pay its suppliers, which could be due to strategic reasons or potentially financial stress.
Overall, while the DSO ratio indicates efficient collections, Comcast's significant increase in payables days in 2023 may warrant further investigation to understand the reasons behind the change and its implications on the company's cash flow management.
See also:
Long-term
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Fixed asset turnover | 1.98 | 2.04 | 2.19 | 2.16 | 1.99 |
| Total asset turnover | 0.46 | 0.46 | 0.47 | 0.42 | 0.38 |
Long-term activity ratios provide insights into how effectively a company is utilizing its assets to generate revenue over an extended period. In the case of Comcast Corp, the fixed asset turnover ratio has shown a consistent improvement from 1.99 in 2020 to 2.16 in 2021, further increasing to 2.19 in 2022, and then decreasing slightly to 2.04 in 2023, and further to 1.98 in 2024.
This trend indicates that Comcast is becoming more efficient in generating revenue from its fixed assets, such as property, plant, and equipment, over the years, reaching a peak in 2022 before experiencing a slight decline in subsequent years.
On the other hand, the total asset turnover ratio for Comcast has shown a general increasing trend, rising from 0.38 in 2020 to 0.42 in 2021, further increasing to 0.47 in 2022, and then stabilizing at 0.46 in both 2023 and 2024.
The total asset turnover ratio reflects Comcast's ability to generate revenue relative to its total assets investment, and the increasing trend indicates that the company is utilizing its total assets more efficiently to generate sales over the years.
Overall, the improvement in fixed asset turnover until 2022 and the consistent increase in total asset turnover for Comcast suggest effective asset utilization and revenue generation strategies, although the slight declines in these ratios in more recent years may require further scrutiny to assess any potential impacts on the company's long-term operational efficiency.