EchoStar Corporation (SATS)

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 24.06 5.34 5.99 6.48 1.46 8.08 8.55 8.62 9.25 9.35 10.15 10.42 10.53 11.08 12.43 12.37 13.94 14.61 16.79 17.97
Receivables turnover 4.89 7.77 8.01 7.44 8.47 7.93 8.50 9.19 9.98 10.04 10.62 10.20 9.89 9.58 9.98 10.26 10.30 9.48 9.89 8.98
Payables turnover 20.67 10.86 9.96 10.39 0.89 9.83 9.12 8.67 8.72 8.69 8.03 9.36 8.43 9.35 9.21 10.20 8.94 9.96 11.62 11.82
Working capital turnover — 0.88 0.96 1.07 6.45 1.21 1.29 1.33 1.35 1.38 1.43 1.40 1.23 1.21 1.25 0.83 0.87 0.83 0.89 0.91

The inventory turnover ratio for EchoStar Corporation oscillated over the analyzed periods, indicating the efficiency with which the company manages its inventory. The ratio significantly increased from 1.46 at the end of December 2022 to a peak of 24.06 at the end of December 2023, demonstrating an improvement in inventory management and the ability to sell through inventory at a much faster rate.

The receivables turnover ratio also varied over time, reflecting changes in the efficiency of the company in collecting outstanding receivables. The ratio peaked at 10.62 at the end of June 2021 and experienced some fluctuations but remained relatively stable between 7.44 and 10.62 throughout the period.

The payables turnover ratio displayed fluctuations over the periods assessed, implying changes in the company's ability to manage its accounts payable efficiently. It peaked at 20.67 at the end of December 2023 and had a significant drop to 0.89 at the end of December 2022, before gradually increasing again over subsequent periods.

The working capital turnover ratio, which is not available for all periods, showed some variability between 0.83 and 1.43 when it was recorded. This ratio indicates how effectively the company utilizes its working capital to generate sales revenue over a specific period.

Overall, analyzing these activity ratios provides insights into how EchoStar Corporation manages its working capital, inventory, receivables, and payables, which are crucial aspects of the company's operational efficiency and financial health.

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 15.17 68.40 60.94 56.35 249.98 45.16 42.68 42.33 39.46 39.03 35.94 35.03 34.67 32.95 29.37 29.50 26.19 24.99 21.74 20.31
Days of sales outstanding (DSO) days 74.71 47.00 45.54 49.08 43.08 46.02 42.96 39.70 36.57 36.37 34.36 35.77 36.91 38.10 36.56 35.58 35.43 38.48 36.90 40.63
Number of days of payables days 17.65 33.60 36.65 35.12 408.74 37.14 40.01 42.10 41.86 41.98 45.44 39.01 43.29 39.04 39.63 35.78 40.82 36.65 31.40 30.89

Days of inventory on hand (DOH) for EchoStar Corporation have fluctuated over the past two years, ranging from a low of 15.17 days to a high of 249.98 days. This indicates that the company has been managing its inventory levels more efficiently recently compared to the previous year. Lower DOH values suggest that the company is selling its inventory more quickly, which can lead to lower carrying costs and potential inventory obsolescence risks.

Days of sales outstanding (DSO) have also varied, with values ranging from 35.43 days to 74.71 days. A lower DSO indicates that the company is collecting its receivables more quickly, improving its cash flow and reducing the risk of bad debts. The trend shows a slight increase in DSO over the past year, which may imply a need for stronger credit management practices.

The number of days of payables for EchoStar Corporation has also fluctuated, with ranges from 17.65 days to 408.74 days. A higher number of days of payables means that the company is taking longer to pay its suppliers, which can help preserve cash in the short term but might strain supplier relationships in the long run. The significant increase in days of payables from the previous year could indicate potential liquidity issues or changes in payment terms negotiated with suppliers.

In conclusion, the analysis of EchoStar Corporation's activity ratios suggests improvements in inventory management and receivables collection efficiency but highlights potential challenges in managing payables effectively and maintaining healthy relationships with suppliers. Monitoring and addressing these trends will be crucial for sustaining the company's financial health in the future.

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 0.57 0.85 0.88 0.89 0.26 0.88 0.85 0.84 5.20 0.85 0.82 0.79 4.05 0.77 0.76 0.79 0.80 0.84 0.64 0.63
Total asset turnover 0.10 0.29 0.31 0.31 0.03 0.32 0.32 0.32 0.33 0.33 0.32 0.27 0.26 0.26 0.26 0.28 0.28 0.29 0.27 0.24

EchoStar Corporation's long-term activity ratios indicate the efficiency of the company in utilizing its assets to generate sales revenue.

The fixed asset turnover ratio shows that the company generated 0.57 to 5.20 units of sales revenue for every unit of fixed assets during the period under review. The fluctuating nature of this ratio suggests varying levels of effectiveness in utilizing fixed assets to generate sales over time.

The total asset turnover ratio reflects the company's ability to generate sales revenue in relation to its total assets, with values ranging from 0.03 to 0.33. This indicates that EchoStar Corporation generated sales revenue equivalent to 0.03 to 0.33 times its total assets during the period, suggesting varying levels of asset efficiency.

Overall, both ratios suggest that EchoStar Corporation's efficiency in asset utilization has varied over time, with significant fluctuations seen in the fixed asset turnover ratio. Further analysis and benchmarking against industry peers may provide additional insights into the company's asset management efficiency.