New York Times Company (NYT)
Activity ratios
Short-term
Turnover ratios
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Inventory turnover | — | — | 22.04 | 31.31 | 32.56 |
| Receivables turnover | — | — | — | — | — |
| Payables turnover | — | — | — | — | — |
| Working capital turnover | 8.01 | 14.26 | 27.33 | 5.27 | 5.11 |
The activity ratios of New York Times Company reflect its efficiency in managing various aspects of its operations.
1. Inventory Turnover:
- The inventory turnover ratio decreased from 32.56 in 2020 to 31.31 in 2021 and further to 22.04 in 2022.
- A higher inventory turnover ratio indicates that the company is selling its inventory quickly.
- The decreasing trend in inventory turnover may suggest either a slowing down in sales or ineffective inventory management.
2. Receivables Turnover:
- The receivables turnover data is missing for all years, indicating that the information related to how quickly the company collects on its credit sales is not available.
- A higher receivables turnover ratio would have indicated that the company efficiently collects payments from its customers.
3. Payables Turnover:
- The payables turnover information is not provided for any period, which prevents an analysis of how effectively the company pays its suppliers.
4. Working Capital Turnover:
- The working capital turnover ratio increased from 5.11 in 2020 to 5.27 in 2021, spiked to 27.33 in 2022, before decreasing to 14.26 in 2023 and further to 8.01 in 2024.
- A higher working capital turnover ratio implies that the company is effectively utilizing its working capital to generate revenue.
- The fluctuating trend in this ratio may suggest variations in how efficiently the company is using its working capital over the years.
In conclusion, while the inventory turnover ratios indicate fluctuations in inventory management efficiency, the missing data for receivables and payables turnover hinders a comprehensive analysis of New York Times Company's overall activity efficiency.
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 | — | — | 16.56 | 11.66 | 11.21 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — |
The activity ratios of New York Times Company can provide insight into its operational efficiency and management of working capital.
1. Days of Inventory on Hand (DOH):
- The company's inventory turnover efficiency slightly increased from 11.21 days as of December 31, 2020, to 11.66 days as of December 31, 2021, indicating a quicker turnover of inventory.
- However, the DOH increased significantly to 16.56 days as of December 31, 2022, suggesting a slower inventory turnover rate.
- The data for December 31, 2023, and December 31, 2024, are not available for analysis.
2. Days of Sales Outstanding (DSO):
- The DSO data is not provided, which makes it challenging to evaluate the company's efficiency in collecting accounts receivable in a timely manner.
3. Number of Days of Payables:
- The information related to the number of days of payables is not available, preventing an assessment of the company's payment terms with its suppliers and its ability to manage payables.
In conclusion, the limited data available for the activity ratios hinders a comprehensive analysis of New York Times Company's operational efficiency. The increasing trend in Days of Inventory on Hand from 2021 to 2022 may raise concerns about the company's inventory management practices, highlighting the need for further information and analysis to better understand its working capital dynamics.
Long-term
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Fixed asset turnover | — | — | 3.76 | 4.86 | 3.00 |
| Total asset turnover | 0.91 | 0.89 | 0.91 | 0.81 | 0.77 |
The Fixed Asset Turnover ratio measures how efficiently a company is utilizing its fixed assets to generate revenue. In the case of New York Times Company, the Fixed Asset Turnover ratio has shown an increasing trend from 3.00 in December 2020 to 4.86 in December 2021, before declining to 3.76 in December 2022. However, the data for December 2023 and 2024 is not available.
Overall, the company has generally been able to generate more revenue from its fixed assets over the years, indicating improved efficiency in utilizing these assets for revenue generation.
Total Asset Turnover, on the other hand, measures how efficiently a company is using all its assets to generate sales. For New York Times Company, the Total Asset Turnover ratio has been increasing steadily from 0.77 in December 2020 to 0.91 in both December 2023 and 2024, with a slight dip to 0.81 in December 2021 and a peak of 0.91 in December 2022.
This increasing trend indicates that the company has been utilizing its total assets more effectively to generate revenue over the years. Overall, both the Fixed Asset Turnover and Total Asset Turnover ratios suggest that New York Times Company has been efficient in generating revenue from its assets, though the Fixed Asset Turnover ratio exhibited some fluctuation.