Consolidated Communications (CNSL)

Working capital turnover

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Revenue (ttm)	US$ in thousands	1,108,273	1,129,071	1,142,036	1,165,264	1,189,461	1,211,965	1,233,930	1,250,822	1,260,849	1,249,993	1,258,475	1,268,369	1,284,566	1,307,977	1,314,817	1,322,890	1,336,839	1,350,554	1,364,712	1,381,684
Total current assets	US$ in thousands	256,155	322,309	439,351	511,583	598,144	734,586	316,086	436,954	427,815	471,180	470,750	500,465	340,661	266,443	207,907	185,828	176,867	185,449	200,596	195,878
Total current liabilities	US$ in thousands	317,245	318,121	316,029	318,673	266,904	303,528	296,501	302,423	285,545	321,074	275,432	274,724	270,470	263,127	224,757	237,674	244,296	258,381	264,111	285,028
Working capital turnover		—	269.60	9.26	6.04	3.59	2.81	63.00	9.30	8.86	8.33	6.44	5.62	18.30	394.44	—	—	—	—	—	—

December 31, 2023 calculation

Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $1,108,273K ÷ ($256,155K – $317,245K)
= —

The working capital turnover for Consolidated Communications Holdings Inc has fluctuated significantly over the past eight quarters. In Q4 2023, the working capital turnover could not be calculated from the provided data. However, in Q3 2023, it stood at 270.04, indicating a substantial improvement in the company's efficiency in utilizing its working capital to generate revenue. This increase may suggest better management of current assets and liabilities during that period.

The sharp decrease in Q2 2023 to 9.28 from the previous quarter's high could be seen as a concerning sign of potential inefficiencies or changes in the company's operations impacting its ability to convert working capital into sales. However, this ratio further decreased in Q1 2023 to 6.05, indicating a continued challenge in efficiently utilizing working capital during that period.

Looking at the earlier quarters, there was a notable increase in working capital turnover in Q4 2022 to 3.60 from the previous quarter, reflecting improved efficiency in utilizing working capital. This positive trend continued in Q3 2022 when the ratio increased to 2.82, suggesting effective management of working capital during that quarter.

The sudden spike in Q2 2022 to 63.10 from the previous quarter's 9.35 could indicate a significant change in the company's operations or financial position, potentially impacting its working capital turnover positively. Overall, the trend in the working capital turnover for Consolidated Communications Holdings Inc shows fluctuation, with varying levels of efficiency in utilizing working capital to generate revenue over the past eight quarters.