Analysis of Short-term (Operating) Activity Ratios
Activity ratios measure how efficiently a company performs day-to-day tasks, such us the collection of receivables and management of inventory.
Short-term Activity Ratios (Summary)
T-Mobile US Inc., short-term (operating) activity ratios
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
| Short-term activity ratio | Description | The company |
|---|---|---|
| Inventory turnover | An activity ratio calculated as cost of goods sold divided by inventory. | T-Mobile US Inc. inventory turnover ratio improved from 2021 to 2022 but then slightly deteriorated from 2022 to 2023. |
| Receivables turnover | An activity ratio equal to revenue divided by receivables. | T-Mobile US Inc. receivables turnover ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |
| Payables turnover | An activity ratio calculated as cost of goods sold divided by payables. | T-Mobile US Inc. payables turnover ratio decreased from 2021 to 2022 but then increased from 2022 to 2023 not reaching 2021 level. |
| Short-term activity ratio | Description | The company |
|---|---|---|
| Average inventory processing period | An activity ratio equal to the number of days in the period divided by inventory turnover over the period. | T-Mobile US Inc. number of days of inventory outstanding improved from 2021 to 2022 but then slightly deteriorated from 2022 to 2023. |
| Average receivable collection period | An activity ratio equal to the number of days in the period divided by receivables turnover. | T-Mobile US Inc. number of days of receivables outstanding deteriorated from 2021 to 2022 and from 2022 to 2023. |
| Operating cycle | Equal to average inventory processing period plus average receivables collection period. | |
| Average payables payment period | An estimate of the average number of days it takes a company to pay its suppliers; equal to the number of days in the period divided by payables turnover ratio for the period. | T-Mobile US Inc. number of days of payables outstanding increased from 2021 to 2022 but then slightly decreased from 2022 to 2023 not reaching 2021 level. |
| Cash conversion cycle | A financial metric that measures the length of time required for a company to convert cash invested in its operations to cash received as a result of its operations; equal to average inventory processing period plus average receivables collection period minus average payables payment period. | T-Mobile US Inc. cash conversion cycle improved from 2021 to 2022 but then slightly deteriorated from 2022 to 2023 not reaching 2021 level. |
Inventory Turnover
T-Mobile US Inc., inventory turnover calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Cost of revenues | 30,188) | 36,206) | 36,605) | 28,266) | 18,521) | |
| Inventory | 1,678) | 1,884) | 2,567) | 2,527) | 964) | |
| Short-term Activity Ratio | ||||||
| Inventory turnover1 | 17.99 | 19.22 | 14.26 | 11.19 | 19.21 | |
| Benchmarks | ||||||
| Inventory Turnover, Competitors2 | ||||||
| AT&T Inc. | 23.02 | 16.28 | 23.04 | 21.63 | 29.38 | |
| Verizon Communications Inc. | 26.68 | 24.76 | 18.43 | 28.51 | 38.49 | |
| Inventory Turnover, Sector | ||||||
| Telecommunication Services | 22.87 | 19.77 | 19.01 | 19.88 | 29.98 | |
| Inventory Turnover, Industry | ||||||
| Communication Services | 52.08 | 44.81 | 39.09 | 36.78 | 47.97 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Inventory turnover = Cost of revenues ÷ Inventory
= 30,188 ÷ 1,678 = 17.99
2 Click competitor name to see calculations.
| Short-term activity ratio | Description | The company |
|---|---|---|
| Inventory turnover | An activity ratio calculated as cost of goods sold divided by inventory. | T-Mobile US Inc. inventory turnover ratio improved from 2021 to 2022 but then slightly deteriorated from 2022 to 2023. |
Receivables Turnover
T-Mobile US Inc., receivables turnover calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Revenues | 78,558) | 79,571) | 80,118) | 68,397) | 44,998) | |
| Accounts receivable, net of allowance for credit losses | 4,692) | 4,445) | 4,194) | 4,276) | 1,908) | |
| Short-term Activity Ratio | ||||||
| Receivables turnover1 | 16.74 | 17.90 | 19.10 | 16.00 | 23.58 | |
| Benchmarks | ||||||
| Receivables Turnover, Competitors2 | ||||||
| AT&T Inc. | 11.90 | 10.53 | 9.61 | 8.50 | 8.00 | |
| Verizon Communications Inc. | 5.34 | 5.58 | 5.60 | 5.36 | 5.19 | |
| Receivables Turnover, Sector | ||||||
| Telecommunication Services | 8.36 | 8.34 | 8.39 | 7.61 | 7.17 | |
| Receivables Turnover, Industry | ||||||
| Communication Services | 7.76 | 8.07 | 7.77 | 7.20 | 7.04 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Receivables turnover = Revenues ÷ Accounts receivable, net of allowance for credit losses
= 78,558 ÷ 4,692 = 16.74
2 Click competitor name to see calculations.
| Short-term activity ratio | Description | The company |
|---|---|---|
| Receivables turnover | An activity ratio equal to revenue divided by receivables. | T-Mobile US Inc. receivables turnover ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |
Payables Turnover
T-Mobile US Inc., payables turnover calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Cost of revenues | 30,188) | 36,206) | 36,605) | 28,266) | 18,521) | |
| Accounts payable | 5,573) | 7,213) | 6,499) | 5,564) | 4,322) | |
| Short-term Activity Ratio | ||||||
| Payables turnover1 | 5.42 | 5.02 | 5.63 | 5.08 | 4.29 | |
| Benchmarks | ||||||
| Payables Turnover, Competitors2 | ||||||
| AT&T Inc. | 1.84 | 1.63 | 2.59 | 2.51 | 2.84 | |
| Verizon Communications Inc. | 5.48 | 6.76 | 7.00 | 7.68 | 7.08 | |
| Payables Turnover, Sector | ||||||
| Telecommunication Services | 3.15 | 3.11 | 3.81 | 3.62 | 3.78 | |
| Payables Turnover, Industry | ||||||
| Communication Services | 4.91 | 4.73 | 4.79 | 4.63 | 4.48 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Payables turnover = Cost of revenues ÷ Accounts payable
= 30,188 ÷ 5,573 = 5.42
2 Click competitor name to see calculations.
| Short-term activity ratio | Description | The company |
|---|---|---|
| Payables turnover | An activity ratio calculated as cost of goods sold divided by payables. | T-Mobile US Inc. payables turnover ratio decreased from 2021 to 2022 but then increased from 2022 to 2023 not reaching 2021 level. |
Working Capital Turnover
T-Mobile US Inc., working capital turnover calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Current assets | 19,015) | 19,067) | 20,891) | 23,885) | 9,305) | |
| Less: Current liabilities | 20,928) | 24,742) | 23,499) | 21,703) | 12,506) | |
| Working capital | (1,913) | (5,675) | (2,608) | 2,182) | (3,201) | |
| Revenues | 78,558) | 79,571) | 80,118) | 68,397) | 44,998) | |
| Short-term Activity Ratio | ||||||
| Working capital turnover1 | — | — | — | 31.35 | — | |
| Benchmarks | ||||||
| Working Capital Turnover, Competitors2 | ||||||
| AT&T Inc. | — | — | — | — | — | |
| Verizon Communications Inc. | — | — | — | 8.59 | — | |
| Working Capital Turnover, Sector | ||||||
| Telecommunication Services | — | — | — | 64.80 | — | |
| Working Capital Turnover, Industry | ||||||
| Communication Services | 10.57 | 11.82 | 7.57 | 4.32 | 6.31 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Working capital turnover = Revenues ÷ Working capital
= 78,558 ÷ -1,913 = —
2 Click competitor name to see calculations.
Average Inventory Processing Period
T-Mobile US Inc., average inventory processing period calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data | ||||||
| Inventory turnover | 17.99 | 19.22 | 14.26 | 11.19 | 19.21 | |
| Short-term Activity Ratio (no. days) | ||||||
| Average inventory processing period1 | 20 | 19 | 26 | 33 | 19 | |
| Benchmarks (no. days) | ||||||
| Average Inventory Processing Period, Competitors2 | ||||||
| AT&T Inc. | 16 | 22 | 16 | 17 | 12 | |
| Verizon Communications Inc. | 14 | 15 | 20 | 13 | 9 | |
| Average Inventory Processing Period, Sector | ||||||
| Telecommunication Services | 16 | 18 | 19 | 18 | 12 | |
| Average Inventory Processing Period, Industry | ||||||
| Communication Services | 7 | 8 | 9 | 10 | 8 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Average inventory processing period = 365 ÷ Inventory turnover
= 365 ÷ 17.99 = 20
2 Click competitor name to see calculations.
| Short-term activity ratio | Description | The company |
|---|---|---|
| Average inventory processing period | An activity ratio equal to the number of days in the period divided by inventory turnover over the period. | T-Mobile US Inc. number of days of inventory outstanding improved from 2021 to 2022 but then slightly deteriorated from 2022 to 2023. |
Average Receivable Collection Period
T-Mobile US Inc., average receivable collection period calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data | ||||||
| Receivables turnover | 16.74 | 17.90 | 19.10 | 16.00 | 23.58 | |
| Short-term Activity Ratio (no. days) | ||||||
| Average receivable collection period1 | 22 | 20 | 19 | 23 | 15 | |
| Benchmarks (no. days) | ||||||
| Average Receivable Collection Period, Competitors2 | ||||||
| AT&T Inc. | 31 | 35 | 38 | 43 | 46 | |
| Verizon Communications Inc. | 68 | 65 | 65 | 68 | 70 | |
| Average Receivable Collection Period, Sector | ||||||
| Telecommunication Services | 44 | 44 | 44 | 48 | 51 | |
| Average Receivable Collection Period, Industry | ||||||
| Communication Services | 47 | 45 | 47 | 51 | 52 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Average receivable collection period = 365 ÷ Receivables turnover
= 365 ÷ 16.74 = 22
2 Click competitor name to see calculations.
| Short-term activity ratio | Description | The company |
|---|---|---|
| Average receivable collection period | An activity ratio equal to the number of days in the period divided by receivables turnover. | T-Mobile US Inc. number of days of receivables outstanding deteriorated from 2021 to 2022 and from 2022 to 2023. |
Operating Cycle
T-Mobile US Inc., operating cycle calculation, comparison to benchmarks
No. days
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data | ||||||
| Average inventory processing period | 20 | 19 | 26 | 33 | 19 | |
| Average receivable collection period | 22 | 20 | 19 | 23 | 15 | |
| Short-term Activity Ratio | ||||||
| Operating cycle1 | 42 | 39 | 45 | 56 | 34 | |
| Benchmarks | ||||||
| Operating Cycle, Competitors2 | ||||||
| AT&T Inc. | 47 | 57 | 54 | 60 | 58 | |
| Verizon Communications Inc. | 82 | 80 | 85 | 81 | 79 | |
| Operating Cycle, Sector | ||||||
| Telecommunication Services | 60 | 62 | 63 | 66 | 63 | |
| Operating Cycle, Industry | ||||||
| Communication Services | 54 | 53 | 56 | 61 | 60 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Operating cycle = Average inventory processing period + Average receivable collection period
= 20 + 22 = 42
2 Click competitor name to see calculations.
| Short-term activity ratio | Description | The company |
|---|---|---|
| Operating cycle | Equal to average inventory processing period plus average receivables collection period. |
Average Payables Payment Period
T-Mobile US Inc., average payables payment period calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data | ||||||
| Payables turnover | 5.42 | 5.02 | 5.63 | 5.08 | 4.29 | |
| Short-term Activity Ratio (no. days) | ||||||
| Average payables payment period1 | 67 | 73 | 65 | 72 | 85 | |
| Benchmarks (no. days) | ||||||
| Average Payables Payment Period, Competitors2 | ||||||
| AT&T Inc. | 199 | 223 | 141 | 145 | 129 | |
| Verizon Communications Inc. | 67 | 54 | 52 | 48 | 52 | |
| Average Payables Payment Period, Sector | ||||||
| Telecommunication Services | 116 | 118 | 96 | 101 | 97 | |
| Average Payables Payment Period, Industry | ||||||
| Communication Services | 74 | 77 | 76 | 79 | 81 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Average payables payment period = 365 ÷ Payables turnover
= 365 ÷ 5.42 = 67
2 Click competitor name to see calculations.
| Short-term activity ratio | Description | The company |
|---|---|---|
| Average payables payment period | An estimate of the average number of days it takes a company to pay its suppliers; equal to the number of days in the period divided by payables turnover ratio for the period. | T-Mobile US Inc. number of days of payables outstanding increased from 2021 to 2022 but then slightly decreased from 2022 to 2023 not reaching 2021 level. |
Cash Conversion Cycle
T-Mobile US Inc., cash conversion cycle calculation, comparison to benchmarks
No. days
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data | ||||||
| Average inventory processing period | 20 | 19 | 26 | 33 | 19 | |
| Average receivable collection period | 22 | 20 | 19 | 23 | 15 | |
| Average payables payment period | 67 | 73 | 65 | 72 | 85 | |
| Short-term Activity Ratio | ||||||
| Cash conversion cycle1 | -25 | -34 | -20 | -16 | -51 | |
| Benchmarks | ||||||
| Cash Conversion Cycle, Competitors2 | ||||||
| AT&T Inc. | -152 | -166 | -87 | -85 | -71 | |
| Verizon Communications Inc. | 15 | 26 | 33 | 33 | 27 | |
| Cash Conversion Cycle, Sector | ||||||
| Telecommunication Services | -56 | -56 | -33 | -35 | -34 | |
| Cash Conversion Cycle, Industry | ||||||
| Communication Services | -20 | -24 | -20 | -18 | -21 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Cash conversion cycle = Average inventory processing period + Average receivable collection period – Average payables payment period
= 20 + 22 – 67 = -25
2 Click competitor name to see calculations.
| Short-term activity ratio | Description | The company |
|---|---|---|
| Cash conversion cycle | A financial metric that measures the length of time required for a company to convert cash invested in its operations to cash received as a result of its operations; equal to average inventory processing period plus average receivables collection period minus average payables payment period. | T-Mobile US Inc. cash conversion cycle improved from 2021 to 2022 but then slightly deteriorated from 2022 to 2023 not reaching 2021 level. |