Nexstar Broadcasting Group Inc (NXST)

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	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
Inventory turnover	—	285.02	280.09	276.09	235.05	20.42	—	—	—	—	—	—	—	—	—	20.95	13.89	14.86	55.39	84.01
Receivables turnover	4.10	5.25	5.13	4.84	4.51	4.73	4.80	4.39	4.27	4.95	5.01	4.63	4.65	5.02	4.71	3.77	3.32	3.06	4.79	4.82
Payables turnover	16.83	28.10	30.88	18.67	18.52	21.88	20.83	15.64	13.56	16.82	21.64	13.52	13.33	18.10	15.91	18.74	14.88	18.84	27.10	26.04
Working capital turnover	8.89	9.59	6.57	5.85	6.75	6.21	6.44	5.96	6.98	7.61	5.95	6.58	8.77	5.87	4.98	5.60	7.26	7.71	9.22	8.32

Activity ratios provide insights into how efficiently a company manages its assets and liabilities to generate sales or revenue. Let's analyze Nexstar Media Group Inc's activity ratios:

1. Receivables Turnover:
- Nexstar Media Group Inc's receivables turnover has shown a fluctuating pattern over the quarters, ranging from 4.51 to 5.74.
- This ratio indicates how many times the company collects its accounts receivable during a specific period. A higher turnover suggests efficient collection practices.
- The company's average receivables turnover appears to be around 5 times per quarter, indicating a reasonable efficiency in collecting receivables.

2. Payables Turnover:
- Nexstar Media Group Inc's payables turnover has varied considerably, with values ranging from 8.62 to 16.44.
- This ratio showcases how quickly the company pays its suppliers. A higher turnover implies a shorter payment period, potentially benefiting from early payment discounts.
- The company's payables turnover has been relatively high, reflecting an aggressive stance in managing its payables and possibly good supplier relationships.

3. Working Capital Turnover:
- Nexstar Media Group Inc's working capital turnover has displayed a fluctuating trend, ranging from 6.30 to 10.48 over the quarters.
- This ratio measures how efficiently the company utilizes its working capital to generate revenue. A higher turnover indicates better utilization of resources.
- The company's working capital turnover has shown improvement in some quarters, suggesting increased efficiency in utilizing its capital to generate sales.

Overall, Nexstar Media Group Inc's activity ratios demonstrate mixed performance in managing its assets and liabilities to drive revenue. While receivables turnover and working capital turnover have shown some positive trends, payables turnover has been volatile. It is crucial for the company to maintain a balance in managing its working capital effectively to optimize its operational efficiency.

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	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
Days of inventory on hand (DOH)	days	—	1.28	1.30	1.32	1.55	17.88	—	—	—	—	—	—	—	—	—	17.42	26.27	24.56	6.59	4.34
Days of sales outstanding (DSO)	days	89.07	69.51	71.18	75.37	80.86	77.25	76.00	83.20	85.43	73.77	72.88	78.91	78.57	72.71	77.57	96.74	109.92	119.32	76.18	75.66
Number of days of payables	days	21.68	12.99	11.82	19.55	19.71	16.68	17.53	23.33	26.92	21.70	16.87	27.00	27.37	20.17	22.93	19.47	24.52	19.37	13.47	14.02

Based on the provided data, it is observed that Nexstar Media Group Inc's Days of Sales Outstanding (DSO) has fluctuated over the quarters, with a peak of 81.02 days in Q4 2023 and a low of 63.57 days in Q3 2023. This metric indicates the average number of days taken by the company to collect revenue from its customers. A higher DSO suggests a longer time to collect payments, potentially impacting cash flow and liquidity.

In contrast, the Number of Days of Payables has also varied, reaching its highest point of 42.33 days in Q1 2022 and dropping to 22.20 days in Q2 2023. This ratio reflects the average number of days the company takes to pay its suppliers. A longer payment period may indicate that Nexstar Media Group Inc is effectively using trade credit to manage its cash flow.

Days of Inventory on Hand (DOH) data is missing from the table, making it challenging to analyze the efficiency of inventory management by the company. However, a lower DOH value would generally be favorable as it suggests a faster turnover of inventory and efficient management of working capital.

Overall, monitoring and managing these activity ratios are crucial for Nexstar Media Group Inc to optimize its operational efficiency, cash flow, and working capital management, ultimately impacting its overall financial performance and sustainability.

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	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
Fixed asset turnover	3.54	3.66	3.82	3.89	3.86	3.13	3.06	2.97	2.88	2.88	2.82	2.66	2.62	2.46	2.27	2.17	2.27	2.09	3.47	3.52
Total asset turnover	0.37	0.39	0.39	0.39	0.38	0.36	0.35	0.34	0.33	0.34	0.34	0.32	0.31	0.30	0.27	0.25	0.21	0.19	0.37	0.19

The fixed asset turnover ratio for Nexstar Media Group Inc has shown a consistent upward trend from Q1 2022 to Q4 2023, indicating that the company is generating increasing revenue relative to its investment in fixed assets. This implies that Nexstar is efficiently utilizing its fixed assets to generate sales.

On the other hand, the total asset turnover ratio has also been relatively stable over the same period, indicating that Nexstar is efficiently generating sales in relation to its total assets. Despite some fluctuations, the total asset turnover ratio consistently remains above 0.4, suggesting that the company is effectively using its total assets to generate revenue.

Overall, both the fixed asset turnover and total asset turnover ratios demonstrate that Nexstar Media Group Inc is effectively managing its assets to drive revenue growth and operational efficiency.