Analysis of Short-term (Operating) Activity Ratios
Quarterly Data
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 (quarterly data)
Based on: 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
Analysis of the quarterly financial data reveals several notable trends in operational efficiency and working capital management over the observed periods.
- Inventory Turnover
- The inventory turnover ratio exhibits considerable fluctuation, starting at 14.77 in early 2021 and reaching a peak of 23.32 by mid-2023. This suggests periods of improved efficiency in inventory management, enabling faster sales cycles. However, subsequent declines to around 13.2 by late 2025 indicate a slowdown in inventory movement. The variability points to potential seasonal effects or shifts in demand impacting inventory management.
- Receivables Turnover
- Receivables turnover remains relatively stable, oscillating between approximately 16.74 and 21.33 throughout the analyzed timeframe. This stability implies consistent effectiveness in collecting receivables, though slight downward trends towards the later quarters suggest a modest softening in collection efficiency or extended credit terms.
- Working Capital Turnover
- Data for working capital turnover is sparse, but where available, it shows significant variability, including a notably high value of 50.77 in early 2025 followed by lower values in subsequent quarters. Such volatility could reflect changes in the company’s operational scale, capital structure adjustments, or working capital management policies.
- Average Inventory Processing Period
- The average inventory processing period generally trends downward from 25 days early in 2021 to as low as 16 days at multiple points post-2023, indicating improved inventory holding efficiency. However, sporadic increases to around 28 days suggest intermittent challenges or strategic inventory build-ups.
- Average Receivable Collection Period
- The average collection period for receivables hovers consistently around 18 to 22 days. The lack of significant upward or downward trends suggests steady credit and collection policies.
- Operating Cycle
- The operating cycle fluctuates moderately between 37 and 50 days, reflecting the combined effects of inventory and receivables management. Periods of shortened cycles suggest improved overall management of cash conversion, while occasional lengthening indicates possible delays in inventory turnover or receivable collection.
Overall, the data indicate that while inventory management efficiency has shown periods of improvement and decline, receivables management remains relatively steady. The operating cycle reflects these mixed trends, emphasizing the importance of continuous monitoring of working capital components to sustain liquidity and operational efficiency.
Turnover Ratios
Average No. Days
Inventory Turnover
T-Mobile US Inc., inventory turnover calculation (quarterly data)
| Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||
| Cost of revenues | 7,726) | 7,376) | 7,400) | 8,785) | 7,029) | 6,752) | 7,087) | 8,400) | 7,135) | 7,004) | 7,649) | 8,671) | 8,694) | 9,168) | 9,673) | 10,452) | 8,683) | 8,944) | 8,526) | ||||||
| Inventory | 2,370) | 1,690) | 1,937) | 1,607) | 1,789) | 1,319) | 1,521) | 1,678) | 1,685) | 1,373) | 1,741) | 1,884) | 2,247) | 2,243) | 2,715) | 2,567) | 1,762) | 1,707) | 2,209) | ||||||
| Short-term Activity Ratio | |||||||||||||||||||||||||
| Inventory turnover1 | 13.20 | 18.10 | 15.47 | 18.45 | 16.36 | 22.27 | 19.48 | 17.99 | 18.08 | 23.32 | 19.63 | 19.22 | 16.91 | 16.93 | 13.90 | 14.26 | 20.32 | 20.39 | 14.77 | ||||||
| Benchmarks | |||||||||||||||||||||||||
| Inventory Turnover, Competitors2 | |||||||||||||||||||||||||
| AT&T Inc. | 17.39 | 21.22 | 19.01 | 21.68 | 19.35 | 27.18 | 23.39 | 23.02 | 19.76 | 21.26 | 18.07 | 16.28 | 14.50 | 19.34 | 22.66 | 23.04 | 26.85 | 30.23 | 24.45 | ||||||
| Verizon Communications Inc. | 20.67 | 26.06 | 24.71 | 24.08 | 21.31 | 29.31 | 26.13 | 26.68 | 24.76 | 29.87 | 24.48 | 24.76 | 18.63 | 15.71 | 15.61 | 18.43 | 24.37 | 38.66 | 40.24 | ||||||
Based on: 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
1 Q3 2025 Calculation
Inventory turnover
= (Cost of revenuesQ3 2025
+ Cost of revenuesQ2 2025
+ Cost of revenuesQ1 2025
+ Cost of revenuesQ4 2024)
÷ Inventory
= (7,726 + 7,376 + 7,400 + 8,785)
÷ 2,370 = 13.20
2 Click competitor name to see calculations.
The financial data reveal notable fluctuations in cost of revenues, inventory levels, and inventory turnover ratios over the analyzed periods. The patterns suggest shifting operational efficiency and inventory management dynamics.
- Cost of Revenues
- Cost of revenues exhibited variability across the quarters. Starting at a relatively high level, it peaked towards the end of 2021, followed by a general decline through mid-2023. Subsequently, cost of revenues showed an upward trend with some quarterly fluctuations, reaching levels similar to earlier periods. This indicates potential changes in sales volume, pricing strategies, or cost structures influencing the expense associated with delivering goods or services.
- Inventory Levels
- Inventory levels demonstrated a cyclical pattern with apparent peaks and troughs. After an initial decline in the first half of 2021, inventory surged sharply by year-end 2021, then gradually decreased through mid-2023. Another rise is visible towards the end of 2024 and into 2025. These fluctuations may reflect seasonality, changes in demand forecasts, or supply chain adjustments affecting stock holdings.
- Inventory Turnover
- Inventory turnover ratios, indicative of how efficiently inventory is managed, showed considerable variation. The ratio generally moved inversely to inventory levels, rising when inventory declined and falling when inventory increased. Periods of higher turnover, such as mid-2023, suggest improved inventory utilization and potentially stronger sales or better inventory control. Conversely, lower turnover ratios correspond with inventory build-up phases.
Overall, the data indicate periods of both constraining and expanding operational activity with corresponding impacts on costs and inventory management. These trends may warrant further investigation into underlying factors such as demand cycles, procurement policies, and cost control measures to optimize financial performance going forward.
Receivables Turnover
T-Mobile US Inc., receivables turnover calculation (quarterly data)
| Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||
| Revenues | 21,957) | 21,132) | 20,886) | 21,872) | 20,162) | 19,772) | 19,594) | 20,478) | 19,252) | 19,196) | 19,632) | 20,273) | 19,477) | 19,701) | 20,120) | 20,785) | 19,624) | 19,950) | 19,759) | ||||||
| Accounts receivable, net of allowance for credit losses | 5,084) | 4,598) | 4,392) | 4,276) | 4,286) | 4,563) | 4,253) | 4,692) | 4,500) | 4,592) | 4,366) | 4,445) | 4,324) | 4,466) | 4,016) | 4,194) | 4,130) | 4,546) | 3,612) | ||||||
| Short-term Activity Ratio | |||||||||||||||||||||||||
| Receivables turnover1 | 16.89 | 18.28 | 18.83 | 19.04 | 18.67 | 17.33 | 18.46 | 16.74 | 17.41 | 17.11 | 18.11 | 17.90 | 18.52 | 17.96 | 20.04 | 19.10 | 19.29 | 17.45 | 21.33 | ||||||
| Benchmarks | |||||||||||||||||||||||||
| Receivables Turnover, Competitors2 | |||||||||||||||||||||||||
| AT&T Inc. | 13.93 | 14.02 | 13.32 | 12.69 | 13.46 | 12.62 | 12.77 | 11.90 | 13.59 | 13.05 | 11.86 | 10.53 | 11.45 | 12.33 | 8.98 | 9.61 | 10.65 | 11.16 | 10.19 | ||||||
| Verizon Communications Inc. | 5.30 | 5.21 | 5.23 | 5.16 | 5.17 | 5.24 | 5.29 | 5.34 | 5.68 | 5.82 | 5.96 | 5.58 | 5.73 | 5.62 | 5.69 | 5.60 | 6.05 | 6.25 | 5.76 | ||||||
Based on: 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
1 Q3 2025 Calculation
Receivables turnover
= (RevenuesQ3 2025
+ RevenuesQ2 2025
+ RevenuesQ1 2025
+ RevenuesQ4 2024)
÷ Accounts receivable, net of allowance for credit losses
= (21,957 + 21,132 + 20,886 + 21,872)
÷ 5,084 = 16.89
2 Click competitor name to see calculations.
The company's revenue figures have exhibited fluctuations over the observed periods, with values generally oscillating between approximately $19 billion and $22 billion on a quarterly basis. There are observable declines in revenue in certain quarters, notably in mid-2023, contrasting with increases towards the end of 2024 and early 2025, where revenues peak above $21 billion. This pattern suggests some seasonal or market-driven variations influencing revenue generation.
Accounts receivable, net of allowance for credit losses, demonstrate a slight upward trend over time. Beginning around $3.6 billion in early 2021, this balance increases steadily to exceed $5 billion by late 2025. This gradual accumulation may indicate expanding credit sales or slower collections, requiring ongoing management attention to ensure cash flow adequacy.
The receivables turnover ratio reveals a declining trend from an initial high of 21.33 in early 2021, decreasing to values closer to 17 – 19 in subsequent quarters. The turnover ratio dipped to approximately 16.74 in late 2023 and exhibits modest fluctuations around this lower range thereafter. This reduction in turnover rate implies that, on average, receivables are being collected more slowly compared to earlier periods, which could have implications for working capital efficiency.
In summary, the financial data indicate that while revenue maintains relative stability with periodic increases and declines, accounts receivable balances are rising and collection efficiency as represented by receivables turnover is diminishing. This combination may warrant attention to credit policies and collection processes to optimize cash flow and reduce credit risk exposure.
Working Capital Turnover
T-Mobile US Inc., working capital turnover calculation (quarterly data)
| Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||
| Current assets | 21,703) | 26,772) | 27,441) | 18,404) | 22,531) | 19,297) | 19,295) | 19,015) | 18,669) | 20,237) | 18,876) | 19,067) | 21,427) | 17,476) | 17,455) | 20,891) | 16,772) | 20,570) | 18,779) | ||||||
| Less: Current liabilities | 24,301) | 22,102) | 23,629) | 20,174) | 20,955) | 23,038) | 20,563) | 20,928) | 21,711) | 24,569) | 23,846) | 24,742) | 26,362) | 20,622) | 21,423) | 23,499) | 19,247) | 21,837) | 19,495) | ||||||
| Working capital | (2,598) | 4,670) | 3,812) | (1,770) | 1,576) | (3,741) | (1,268) | (1,913) | (3,042) | (4,332) | (4,970) | (5,675) | (4,935) | (3,146) | (3,968) | (2,608) | (2,475) | (1,267) | (716) | ||||||
| Revenues | 21,957) | 21,132) | 20,886) | 21,872) | 20,162) | 19,772) | 19,594) | 20,478) | 19,252) | 19,196) | 19,632) | 20,273) | 19,477) | 19,701) | 20,120) | 20,785) | 19,624) | 19,950) | 19,759) | ||||||
| Short-term Activity Ratio | |||||||||||||||||||||||||
| Working capital turnover1 | — | 18.00 | 21.69 | — | 50.77 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Benchmarks | |||||||||||||||||||||||||
| Working Capital Turnover, Competitors2 | |||||||||||||||||||||||||
| AT&T Inc. | 177.07 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Verizon Communications Inc. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | 141.27 | ||||||
Based on: 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
1 Q3 2025 Calculation
Working capital turnover
= (RevenuesQ3 2025
+ RevenuesQ2 2025
+ RevenuesQ1 2025
+ RevenuesQ4 2024)
÷ Working capital
= (21,957 + 21,132 + 20,886 + 21,872)
÷ -2,598 = —
2 Click competitor name to see calculations.
- Revenue Trends
- Revenues exhibited fluctuations over the observed quarters without a clear consistent upward or downward trajectory. Initial quarterly revenues around 19,700 million US dollars showed slight variability, with occasional decreases, particularly in mid-2023 where values dipped below 19,300 million. However, the last quarters indicated a renewed increase, reaching above 21,900 million US dollars by the final period. Overall, revenues demonstrated moderate volatility within a range roughly from 19,000 to 22,000 million US dollars.
- Working Capital Fluctuations
- Working capital figures disclosed significant volatility and large absolute swings over the given periods. Starting with a negative position near -700 million US dollars, working capital deteriorated further in the following quarters, hitting lows near -5,600 million US dollars by the end of 2022. Subsequently, the trend was irregular, with noteworthy recoveries observed in several intervals, including positive working capital values recorded in the quarters around late 2024 and mid-2025. Despite these recoveries, the working capital position remained unstable and included periods of substantial deficits.
- Working Capital Turnover Ratio
- The available data for working capital turnover ratio is limited but reveals extremely elevated values in some periods, such as 50.77 and 21.69 in late 2024 and mid-2025 respectively. These unusually high ratios may suggest low or volatile working capital balances in relation to revenues, consistent with the highly variable working capital figures previously noted. The sparse data points limit trend analysis, but the sporadic spikes indicate periods of relatively efficient revenue generation from working capital or possibly distortions due to small working capital denominators.
- Overall Observations
- The analyzed financial data point to a company experiencing substantial fluctuations in its working capital management, with periods of strong deficits as well as occasional positive recoveries. Revenue levels remained relatively steady with minor seasonal or cyclical variations, finishing with a modest upward trend towards the end of the observed terms. The interplay between revenue and working capital appeared inconsistent, reflecting potential challenges in operational liquidity and asset management. The high working capital turnover ratios in later periods highlight the impact of working capital volatility on efficiency metrics.
Average Inventory Processing Period
T-Mobile US Inc., average inventory processing period calculation (quarterly data)
| Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data | |||||||||||||||||||||||||
| Inventory turnover | 13.20 | 18.10 | 15.47 | 18.45 | 16.36 | 22.27 | 19.48 | 17.99 | 18.08 | 23.32 | 19.63 | 19.22 | 16.91 | 16.93 | 13.90 | 14.26 | 20.32 | 20.39 | 14.77 | ||||||
| Short-term Activity Ratio (no. days) | |||||||||||||||||||||||||
| Average inventory processing period1 | 28 | 20 | 24 | 20 | 22 | 16 | 19 | 20 | 20 | 16 | 19 | 19 | 22 | 22 | 26 | 26 | 18 | 18 | 25 | ||||||
| Benchmarks (no. days) | |||||||||||||||||||||||||
| Average Inventory Processing Period, Competitors2 | |||||||||||||||||||||||||
| AT&T Inc. | 21 | 17 | 19 | 17 | 19 | 13 | 16 | 16 | 18 | 17 | 20 | 22 | 25 | 19 | 16 | 16 | 14 | 12 | 15 | ||||||
| Verizon Communications Inc. | 18 | 14 | 15 | 15 | 17 | 12 | 14 | 14 | 15 | 12 | 15 | 15 | 20 | 23 | 23 | 20 | 15 | 9 | 9 | ||||||
Based on: 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
1 Q3 2025 Calculation
Average inventory processing period = 365 ÷ Inventory turnover
= 365 ÷ 13.20 = 28
2 Click competitor name to see calculations.
- Inventory Turnover
- The inventory turnover ratio exhibits notable fluctuations over the observed periods. Initially, the ratio increased sharply from 14.77 to over 20 within the first two quarters of 2021, suggesting improved efficiency in inventory management during that time. However, a decline followed at the end of 2021, dropping back to around 14.26. Throughout 2022 and early 2023, the ratio generally trended upwards again, peaking at 23.32 in Q2 2023, indicating heightened turnover activity.
- Subsequently, the ratio showed variability with some quarters experiencing declines, for instance, decreases to around 16.36 in Q3 2024 and further to 13.2 by Q3 2025. Overall, the data reveals a pattern of cyclical changes in inventory turnover rather than a consistent upward or downward trend, implying fluctuating inventory management efficiency across quarters.
- Average Inventory Processing Period
- The average inventory processing period, measured in days, inversely correlates with the inventory turnover ratio and exhibits complementary movements. It starts at 25 days in Q1 2021, decreases to as low as 16 days in several quarters including Q2 2023 and Q4 2024, indicating faster inventory cycles during those periods.
- Conversely, periods with higher inventory processing days, around 26 to 28, coincide with lower turnover ratios. From mid-2024 to mid-2025, the processing period tends to increase again, reaching 28 days in Q3 2025, suggesting a slowdown in inventory movement toward the later periods reviewed. These variations indicate changing inventory management dynamics that may be influenced by operational or market conditions.
- Insights
- The inverse relationship between inventory turnover and average inventory processing period highlights that when the company manages to turn over inventory more frequently, the time taken to process inventory naturally shortens. The cyclical nature of these metrics could be reflective of seasonal demand patterns, supply chain factors, or strategic inventory adjustments. The observed volatility suggests ongoing efforts to optimize inventory levels in response to changing business environments.
Average Receivable Collection Period
T-Mobile US Inc., average receivable collection period calculation (quarterly data)
| Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data | |||||||||||||||||||||||||
| Receivables turnover | 16.89 | 18.28 | 18.83 | 19.04 | 18.67 | 17.33 | 18.46 | 16.74 | 17.41 | 17.11 | 18.11 | 17.90 | 18.52 | 17.96 | 20.04 | 19.10 | 19.29 | 17.45 | 21.33 | ||||||
| Short-term Activity Ratio (no. days) | |||||||||||||||||||||||||
| Average receivable collection period1 | 22 | 20 | 19 | 19 | 20 | 21 | 20 | 22 | 21 | 21 | 20 | 20 | 20 | 20 | 18 | 19 | 19 | 21 | 17 | ||||||
| Benchmarks (no. days) | |||||||||||||||||||||||||
| Average Receivable Collection Period, Competitors2 | |||||||||||||||||||||||||
| AT&T Inc. | 26 | 26 | 27 | 29 | 27 | 29 | 29 | 31 | 27 | 28 | 31 | 35 | 32 | 30 | 41 | 38 | 34 | 33 | 36 | ||||||
| Verizon Communications Inc. | 69 | 70 | 70 | 71 | 71 | 70 | 69 | 68 | 64 | 63 | 61 | 65 | 64 | 65 | 64 | 65 | 60 | 58 | 63 | ||||||
Based on: 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
1 Q3 2025 Calculation
Average receivable collection period = 365 ÷ Receivables turnover
= 365 ÷ 16.89 = 22
2 Click competitor name to see calculations.
The receivables turnover ratio exhibits notable fluctuations over the observed quarters. Initially, the ratio showed a decline from 21.33 in March 2021 to 17.45 in June 2021, followed by a moderate recovery peaking at 20.04 in March 2022. However, subsequent quarters reveal a general downtrend with periodic minor recoveries, leading to a lower ratio of 16.89 by September 2025. This trend suggests a gradual decrease in the efficiency of collecting receivables over time.
Complementing this observation, the average receivable collection period oscillates primarily between 17 and 22 days. Starting at 17 days in March 2021, it increased to around 21 days and maintained values near 20 days in most quarters thereafter. Notably, the collection period slightly extends toward the end of the timeline, reaching up to 22 days by September 2025.
- Receivables Turnover Ratio
- The ratio's variability indicates inconsistent collection efficiency, with a downward bias visible in later periods, implying slower turnover of receivables.
- Average Receivable Collection Period
- Generally stable with moderate fluctuations, the collection period's slight increase corresponds inversely with the declining turnover ratio, indicating a lengthening duration to collect payments.
Overall, the data reflects a trend where the company is gradually taking longer to collect its receivables, which could impact cash flow management if the trend continues. Monitoring these metrics may be advisable to identify underlying causes and address potential collection inefficiencies.
Operating Cycle
T-Mobile US Inc., operating cycle calculation (quarterly data)
No. days
| Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data | |||||||||||||||||||||||||
| Average inventory processing period | 28 | 20 | 24 | 20 | 22 | 16 | 19 | 20 | 20 | 16 | 19 | 19 | 22 | 22 | 26 | 26 | 18 | 18 | 25 | ||||||
| Average receivable collection period | 22 | 20 | 19 | 19 | 20 | 21 | 20 | 22 | 21 | 21 | 20 | 20 | 20 | 20 | 18 | 19 | 19 | 21 | 17 | ||||||
| Short-term Activity Ratio | |||||||||||||||||||||||||
| Operating cycle1 | 50 | 40 | 43 | 39 | 42 | 37 | 39 | 42 | 41 | 37 | 39 | 39 | 42 | 42 | 44 | 45 | 37 | 39 | 42 | ||||||
| Benchmarks | |||||||||||||||||||||||||
| Operating Cycle, Competitors2 | |||||||||||||||||||||||||
| AT&T Inc. | 47 | 43 | 46 | 46 | 46 | 42 | 45 | 47 | 45 | 45 | 51 | 57 | 57 | 49 | 57 | 54 | 48 | 45 | 51 | ||||||
| Verizon Communications Inc. | 87 | 84 | 85 | 86 | 88 | 82 | 83 | 82 | 79 | 75 | 76 | 80 | 84 | 88 | 87 | 85 | 75 | 67 | 72 | ||||||
Based on: 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
1 Q3 2025 Calculation
Operating cycle = Average inventory processing period + Average receivable collection period
= 28 + 22 = 50
2 Click competitor name to see calculations.
The analysis of the key working capital cycle metrics over the observed quarterly periods reveals notable fluctuations and trends in the company's operational efficiency.
- Average Inventory Processing Period
- This metric exhibits variability throughout the time span. Starting at 25 days, it initially decreases to 18 days in the second and third quarters of 2021, indicating improvements in inventory turnover. However, it then rises again toward the end of 2021 and fluctuates between 16 and 26 days in subsequent quarters. The period reaches a high of 28 days in the third quarter of 2025, suggesting potential slowing in inventory processing. These fluctuations suggest periodic changes in inventory management efficiency, with some quarters exhibiting faster inventory turnover and others indicating slower processing.
- Average Receivable Collection Period
- This period remains relatively stable over the full timeline, ranging between 17 and 22 days. There is a slight upward trend observed, with the metric generally hovering around 20 to 22 days in recent quarters. This consistency indicates relatively stable effectiveness in collecting receivables, though the slight increase toward later periods may suggest a minor loosening of credit collection or changes in customer payment behavior.
- Operating Cycle
- The operating cycle, which combines the inventory processing and receivable collection periods, mirrors the trends in its components. It begins at 42 days, experiences a gradual reduction to a low of 37 days during mid-2021 and late 2023 to mid-2024, reflecting improved operational efficiency. However, it later increases again, reaching 50 days in the third quarter of 2025. This increase points to a lengthening cash conversion cycle, potentially signaling delays in inventory turnover, receivables collection, or both, which could affect cash flow.
Overall, the data indicates periods of improved operating efficiency interspersed with phases of slowdown. The variability in the inventory processing period appears to be the primary driver of changes in the operating cycle, while the receivable collection period remains comparatively stable. The recent upward movement in the operating cycle warrants attention as it may impact liquidity and operational effectiveness if the trend continues.