Nexstar Broadcasting Group Inc (NXST)
Liquidity 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Current ratio | 1.66 | 1.68 | 1.78 | 1.80 | 1.53 | 1.57 | 1.88 | 1.97 | 1.81 | 1.82 | 1.95 | 2.02 | 1.79 | 1.84 | 2.18 | 1.89 | 1.66 | 2.00 | 1.88 | 1.65 |
| Quick ratio | 1.60 | 0.21 | 0.18 | 0.29 | 0.15 | 0.18 | 0.41 | 0.48 | 0.23 | 0.38 | 0.37 | 0.44 | 0.24 | 1.94 | 0.49 | 2.09 | 2.03 | 2.57 | 0.81 | 0.47 |
| Cash ratio | 1.60 | 0.21 | 0.18 | 0.29 | 0.15 | 0.18 | 0.41 | 0.48 | 0.23 | 0.38 | 0.37 | 0.44 | 0.24 | 1.94 | 0.49 | 2.09 | 2.03 | 2.57 | 0.81 | 0.47 |
The liquidity ratios of Nexstar Broadcasting Group Inc show a fluctuating trend over the reported periods.
- The current ratio, which measures the company's ability to cover its short-term obligations with its current assets, increased from 1.65 in March 2020 to a peak of 2.18 in June 2021, but then slightly declined to 1.66 by December 2024. The ratio generally stayed above 1 during the period, indicating that Nexstar Broadcasting Group Inc had more than enough current assets to cover its short-term liabilities.
- The quick ratio, which is more stringent as it excludes inventories from current assets, displayed a more erratic pattern. It reached its highest point of 2.57 in September 2020, then dropped significantly to 0.15 by December 2023, before recovering to 1.60 by December 2024. This indicates potential fluctuations in the company's ability to meet its immediate obligations without relying on selling inventory.
- The cash ratio, which provides the most conservative measure of liquidity by considering only cash and cash equivalents, exhibited a similar trend to the quick ratio, reaching its lowest level of 0.15 by December 2023 and then rising to 1.60 by December 2024. This suggests that Nexstar Broadcasting Group Inc had varying levels of cash to cover its short-term liabilities over the reported periods.
Overall, while the current ratio indicates a generally healthy liquidity position for Nexstar Broadcasting Group Inc, the more stringent quick ratio and cash ratio show more volatility in the company's ability to meet its short-term obligations without relying on inventory or non-cash assets.
Additional liquidity measure
| 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash conversion cycle | days | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 2.42 | 2.45 | 2.49 | 2.84 | 33.01 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 30.50 |
The cash conversion cycle of Nexstar Broadcasting Group Inc has shown fluctuations over the years based on the provided data. The cash conversion cycle represents the time it takes for a company to convert its investments in inventory and other resources into cash flows from sales.
In March 2020, the cash conversion cycle was 30.50 days, indicating that it took the company approximately a month to convert its investments into cash. However, there was a significant improvement in the subsequent periods as the cash conversion cycle decreased to 0.00 days from June 2020 to December 2023. During this period, the company managed to efficiently convert its resources into cash almost immediately.
In September 2024, the cash conversion cycle increased slightly to 2.84 days, suggesting that the efficiency of cash conversion declined compared to the previous period. However, this increase was relatively minor compared to the initial cycle observed in March 2020.
Overall, Nexstar Broadcasting Group Inc seems to have improved its cash conversion efficiency significantly over the years, with most recent data showing a relatively short cash conversion cycle. This indicates that the company has been successful in managing its working capital effectively and converting its investments into cash promptly.