Comcast Corp. (NASDAQ:CMCSA)

The short-term operating activity ratios exhibit discernible trends over the observed period. Receivables turnover generally remained within a relatively narrow range, while payables turnover demonstrated a more consistent, albeit gradual, decline. The average receivable collection period showed a slight lengthening trend, and the average payables payment period experienced a similar extension over time.

Receivables Turnover

Receivables turnover fluctuated between 8.80 and 10.18. The initial period, from March 31, 2022, to September 30, 2022, showed values above 9.50, followed by a dip to 8.80 by December 31, 2022. The ratio recovered somewhat in the subsequent periods, but generally trended downwards, concluding at 8.92 on December 31, 2025. This suggests a slight decrease in the efficiency of converting receivables into cash over the analyzed timeframe.

Payables Turnover

Payables turnover exhibited a consistent downward trend, decreasing from 3.23 in June 30, 2022, to 3.16 in December 31, 2025. While the declines were incremental, the overall pattern indicates a lengthening of the time taken to pay suppliers. A slight increase was observed in the final period, but it did not reverse the overall trend.

Average Receivable Collection Period

The average receivable collection period generally increased from 37 days in March 31, 2022, to 41 days in December 31, 2025. There were minor fluctuations within this period, but the overall trend indicates that it took progressively longer to collect payments from customers. The period remained relatively stable between 38 and 39 days for several quarters between March 31, 2023 and September 30, 2025 before increasing again.

Average Payables Payment Period

The average payables payment period demonstrated a clear lengthening trend, increasing from 116 days in March 31, 2022, to 123 days in September 30, 2025, before decreasing to 115 days in December 31, 2025. This suggests a growing reliance on extended payment terms with suppliers. The period remained above 115 days for the majority of the analyzed timeframe.

The combined trends suggest a potential shift in working capital management. The lengthening collection period, coupled with the extended payment terms to suppliers, could indicate a strategy to preserve cash or a potential challenge in managing receivables effectively. Further investigation into the underlying reasons for these trends would be beneficial.

The receivables turnover ratio for the analyzed period demonstrates a generally stable, though slightly declining, trend. Initial values indicate a relatively efficient collection of receivables, but a gradual decrease is observed over the course of the period, with some quarterly fluctuations.

Overall Trend

From March 31, 2022, through December 31, 2025, the receivables turnover ratio fluctuates between approximately 8.77 and 10.18. While exhibiting quarterly variability, a subtle downward trend is apparent. The ratio begins at 9.77, experiences peaks in the first half of the period, and concludes at 8.92.

Initial Period (Mar 31, 2022 – Dec 31, 2022)

The period commences with a ratio of 9.77, increasing to 10.18 and remaining above 10.00 for two consecutive quarters. A decrease to 9.58 is then noted by December 31, 2022, suggesting a potential slowing in the rate of receivables collection during that quarter.

Mid-Period (Mar 31, 2023 – Dec 31, 2024)

The ratio continues to decline through this period, moving from 9.78 to 8.77. The lowest value of the analyzed period, 8.77, is recorded in September 2024. This suggests a consistent, albeit moderate, lengthening of the receivables collection cycle.

Recent Period (Mar 31, 2025 – Dec 31, 2025)

A slight recovery is observed in the final quarters, with the ratio increasing from 9.33 to 8.92. However, this increase is not substantial enough to reverse the overall downward trend. The final value of 8.92 remains below the initial values from 2022.

Relationship to Revenue

While the receivables turnover ratio is decreasing, revenue demonstrates a more volatile pattern, with increases and decreases throughout the period. The ratio’s decline does not appear directly correlated with significant revenue fluctuations, suggesting factors beyond sales volume are influencing collection efficiency.

In summary, the receivables turnover ratio indicates a generally stable, but gradually decreasing, efficiency in collecting receivables. Further investigation may be warranted to determine the underlying causes of this trend, such as changes in credit policies, customer payment behavior, or collection procedures.

The payables turnover ratio for the analyzed period demonstrates a generally stable pattern with some fluctuation. Overall, the ratio remains within a relatively narrow range, suggesting consistent management of trade payables relative to programming and production expenses.

Overall Trend

The payables turnover ratio exhibited a slight downward trend from 3.16 in the first quarter of 2022 to a low of 2.96 in the fourth quarter of 2022. This was followed by a recovery, peaking at 3.27 in the fourth quarter of 2023. The most recent periods show a slight decline, settling at 3.16 in the first quarter of 2025.

Year-over-Year Comparisons

Comparing the first quarter of 2023 (3.01) to the first quarter of 2024 (3.10), an increase in the payables turnover ratio is observed. Similarly, comparing the first quarter of 2024 (3.10) to the first quarter of 2025 (3.17) shows a further increase. This suggests a potential improvement in the efficiency of managing payments to suppliers in recent periods.

Seasonal Patterns

A subtle seasonal pattern appears to exist. The ratio tends to be slightly lower in the fourth quarter of each year, potentially due to increased production and programming expenses during this period, requiring larger outstanding payables. However, this pattern is not consistently pronounced.

Recent Performance

The ratio in the first quarter of 2025 (3.17) is comparable to levels seen in the first quarter of 2022 (3.16), indicating a return to earlier levels of payables management after the peak in late 2023. The final period, June 30, 2025, shows a slight decrease to 3.06.

The observed fluctuations, while present, are not substantial, indicating a generally consistent approach to managing accounts payable. The recent increases suggest a potential tightening of payment terms or improved efficiency in processing invoices, while the slight decline in the most recent period warrants continued monitoring.

The working capital turnover ratio exhibits a complex pattern over the observed period. Initially, the ratio is unavailable, but a consistent negative working capital position is present throughout the entire timeframe. This significantly impacts the interpretation of the turnover ratio, as the standard calculation is not directly applicable with negative working capital.

Working Capital Trend

Working capital consistently remains negative, starting at -4,276 US$ millions in March 2022 and reaching its most negative value of -16,211 US$ millions in December 2022. While there is some fluctuation, it generally remains in a substantial negative range throughout the period, ending at -3,957 US$ millions in December 2025. The most significant improvement in working capital occurs between March 2025 and December 2025.

Revenue Trend

Revenue demonstrates relative stability, fluctuating between approximately 29,691 US$ millions and 32,309 US$ millions. A slight upward trend is observable in the later periods, with revenue reaching 32,309 US$ millions in December 2025, representing a peak within the observed timeframe. Revenue remains relatively consistent throughout the majority of the period.

Working Capital Turnover Ratio

Due to the consistently negative working capital, the calculated working capital turnover ratio would be negative and potentially misleading. A negative working capital position suggests the entity is financing its operations through short-term liabilities rather than utilizing working capital assets. The absence of values for the ratio throughout the period indicates that it is not considered a meaningful metric for assessing operational efficiency in this specific context. Further investigation into the reasons for the sustained negative working capital is recommended.

In summary, the analysis reveals a consistent negative working capital position alongside relatively stable revenue. The standard interpretation of working capital turnover is not applicable given the negative working capital, and the absence of calculated values for the ratio reinforces this point. The trend in working capital suggests a potential improvement towards the end of the observed period, but remains significantly negative.

The average receivable collection period exhibited relative stability over the observed period, with some fluctuations. Generally, the period remained within a narrow range, indicating consistent efficiency in collecting receivables. However, a subtle upward trend became more pronounced in the later quarters of the analyzed timeframe.

Overall Trend

The average receivable collection period generally fluctuated between 36 and 42 days. The initial values, starting in March 2022, were consistently at or below 38 days. A gradual increase is noticeable from the second half of 2022 through 2023, before stabilizing somewhat in 2024 and then increasing again in 2025.

Short-Term Fluctuations

A slight increase was observed from March 2022 (37 days) to December 2022 (38 days). The period then remained relatively stable through the first three quarters of 2023, at 39 days, before rising to 41 days by the end of 2023. This increase continued into the first half of 2024, reaching 40 and 42 days respectively. A slight decrease was seen in the latter half of 2024, but the period increased again in 2025, ending at 41 days.

Recent Performance

The most recent quarters show a continuation of the upward trend. The average collection period reached 41 days in both the first quarter of 2025 and the fourth quarter of 2025, representing the highest values observed throughout the entire period. This suggests a potential lengthening in the time required to collect receivables, warranting further investigation.

Potential Implications

While the collection period remained within an acceptable range for most of the analyzed period, the recent increases could indicate a need to review credit policies or collection procedures. A longer collection period ties up working capital and potentially increases the risk of bad debts. Monitoring this metric closely will be important in future periods.

The average payables payment period exhibited a generally increasing trend over the observed period, spanning from March 31, 2022, to December 31, 2025. While fluctuations occurred, the overall movement suggests a lengthening in the time taken to settle outstanding obligations to suppliers.

Overall Trend

From 116 days in March 2022, the average payables payment period generally rose, peaking at 123 days in both September 2022 and September 2025. A slight decrease was noted in the final reported period, ending at 115 days in December 2025. The period remained consistently above 110 days throughout the majority of the analyzed timeframe.

Short-Term Fluctuations (2022-2023)

The period initially decreased from 116 days in March 2022 to 113 days in June 2022, before increasing to 117 days in September 2022 and reaching 120 days by December 2022. This upward trend continued into 2023, reaching 121 days in March, 122 days in June, and remaining stable at 123 days for the subsequent two quarters.

Mid-Term Stability & Recent Changes (2023-2025)

The period remained relatively stable around 120-123 days through much of 2023 and 2024. A slight decrease was observed in March 2024 (118 days) and December 2024 (112 days). The period increased again to 123 days in September 2025, before decreasing to 115 days in December 2025.

Relationship to Payables Turnover

The observed trend in the average payables payment period is inversely related to the payables turnover ratio. As the payables turnover ratio decreased from 3.16 in March 2022 to a low of 2.96 in December 2022, the average payables payment period increased. A similar inverse relationship is apparent throughout the period, indicating that a slower rate of paying suppliers corresponds to a longer payment period.