Frontier Communications Parent Inc (FYBR)

Activity ratios

Short-term

Turnover ratios

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 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 Dec 31, 2018
Inventory turnover — — — — — — — — — — — — — — — — — — — —
Receivables turnover 12.89 12.83 13.39 13.44 12.69 13.96 14.44 15.82 14.26 — 13.29 12.94 11.60 11.25 11.90 11.58 11.35 11.21 10.68 10.68
Payables turnover 4.89 8.49 5.60 3.99 3.69 0.61 0.74 1.83 5.17 — 6.32 5.87 -3.75 -3.32 10.51 8.51 17.97 19.16 7.67 8.12
Working capital turnover 11.37 7.71 — 24.81 19.16 5.35 3.52 6.44 5.28 28.69 — — — — — 34.79 30.81 26.81 — —

The activity ratios of Frontier Communications Parent Inc show varying trends over the reporting periods.

1. Receivables Turnover:
- The receivables turnover ratio has generally been stable, indicating that the company efficiently collects its accounts receivable.
- There was a significant increase in the turnover ratio from December 2021 to March 2022, suggesting improved collection efficiency during this period.
- The slight fluctuations in the ratio from September 2022 to March 2023 may be attributed to seasonal factors or changes in credit policies.

2. Payables Turnover:
- The payables turnover ratio has shown volatility over the reporting periods, possibly indicating inconsistencies in the company's payment practices or supplier relationships.
- There was a substantial increase in the turnover ratio from June 2020 to March 2020, followed by a decline by December 2020, indicating fluctuations in payment cycles during this period.
- The negative values in the ratio from September 2020 to March 2021 suggest inconsistencies or irregularities in the company's payables management during that time.

3. Working Capital Turnover:
- The working capital turnover ratio shows significant fluctuations, indicating variations in the effectiveness of the company's working capital management.
- The ratio peaked at 34.79 in December 2018, suggesting efficient utilization of working capital during that period.
- The absence of data for certain periods indicates possible fluctuations in the company's working capital efficiency during those times.

Overall, Frontier Communications Parent Inc's activity ratios provide insights into its operational efficiency and management of key working capital components. Further analysis and trend monitoring would be necessary to assess the company's performance accurately and identify areas for improvement.

Average number of days

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 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 Dec 31, 2018
Days of inventory on hand (DOH) days — — — — — — — — — — — — — — — — — — — —
Days of sales outstanding (DSO) days 28.31 28.44 27.26 27.15 28.76 26.14 25.28 23.07 25.60 — 27.46 28.21 31.46 32.44 30.67 31.52 32.15 32.56 34.17 34.16
Number of days of payables days 74.66 42.97 65.21 91.40 98.96 597.33 495.96 198.99 70.60 — 57.78 62.22 — — 34.74 42.90 20.32 19.05 47.61 44.93

Days of inventory on hand (DOH) for Frontier Communications Parent Inc are not available as the data is missing for all periods.

Days of sales outstanding (DSO) have shown fluctuations over the periods, ranging from a low of 23.07 days in March 2022 to a high of 34.17 days in December 2018. The trend indicates that the company typically takes between 23 to 34 days to collect its accounts receivable from customers.

The number of days of payables also exhibit variability, with values fluctuating significantly. The company took the longest to pay its payables in September 2022 (597.33 days) and June 2022 (495.96 days), possibly indicating delays or other issues in managing its payable obligations. Conversely, the number of days of payables fell to as low as 19.05 days in March 2019, suggesting a shorter period for settling its payables during that quarter.

Long-term

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 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 Dec 31, 2018
Fixed asset turnover 0.41 0.42 0.43 0.45 0.49 0.54 0.60 0.66 0.71 0.77 0.53 0.55 0.58 0.60 0.62 0.63 0.64 0.65 0.61 0.61
Total asset turnover 0.28 0.28 0.30 0.30 0.31 0.32 0.34 0.37 0.40 0.52 0.41 0.43 0.44 0.44 0.45 0.46 0.47 0.48 0.36 0.36

Frontier Communications Parent Inc's long-term activity ratios show a trend of decline in efficiency over the periods analyzed. The fixed asset turnover ratio has decreased from 0.61 in December 2018 to 0.41 in December 2023, indicating that the company is generating lower sales relative to its investment in fixed assets. This may suggest underutilization or obsolescence of assets.

Similarly, the total asset turnover ratio has also experienced a decline from 0.36 in December 2018 to 0.28 in December 2023. This indicates that the company's ability to generate sales from its total assets has weakened over time. Lower asset turnover ratios can be indicative of inefficiencies in asset utilization, poor inventory management, or declining sales.

Overall, the decreasing trend in both fixed asset turnover and total asset turnover ratios for Frontier Communications Parent Inc suggests a potential need for the company to reassess its asset management strategies and operational efficiency to improve its long-term productivity and profitability.