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)
Warner Bros. Discovery Inc., short-term (operating) activity ratios
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
| Short-term activity ratio | Description | The company |
|---|---|---|
| Receivables turnover | An activity ratio equal to revenue divided by receivables. | Warner Bros. Discovery Inc. receivables turnover ratio deteriorated from 2019 to 2020 but then improved from 2020 to 2021 exceeding 2019 level. |
| Payables turnover | An activity ratio calculated as cost of goods sold divided by payables. | Warner Bros. Discovery Inc. payables turnover ratio increased from 2019 to 2020 and from 2020 to 2021. |
| Working capital turnover | An activity ratio calculated as revenue divided by working capital. | Warner Bros. Discovery Inc. working capital turnover ratio deteriorated from 2019 to 2020 and from 2020 to 2021. |
| 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. | Warner Bros. Discovery Inc. number of days of receivables outstanding deteriorated from 2019 to 2020 but then improved from 2020 to 2021 exceeding 2019 level. |
| 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. | Warner Bros. Discovery Inc. number of days of payables outstanding decreased from 2019 to 2020 and from 2020 to 2021. |
Receivables Turnover
Warner Bros. Discovery Inc., receivables turnover calculation, comparison to benchmarks
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Revenues | 12,191) | 10,671) | 11,144) | 10,553) | 6,873) | |
| Receivables, net | 2,446) | 2,537) | 2,633) | 2,620) | 1,838) | |
| Short-term Activity Ratio | ||||||
| Receivables turnover1 | 4.98 | 4.21 | 4.23 | 4.03 | 3.74 | |
| Benchmarks | ||||||
| Receivables Turnover, Competitors2 | ||||||
| Alphabet Inc. | 6.55 | 5.90 | 6.39 | — | — | |
| Comcast Corp. | 9.69 | 9.03 | 9.65 | — | — | |
| Meta Platforms Inc. | 8.40 | 7.58 | 7.43 | — | — | |
| Netflix Inc. | 36.92 | 40.92 | 44.36 | — | — | |
| Walt Disney Co. | 5.04 | 5.15 | 4.49 | 6.37 | — | |
| Receivables Turnover, Sector | ||||||
| Media & Entertainment | 7.41 | 6.90 | 6.95 | — | — | |
| Receivables Turnover, Industry | ||||||
| Communication Services | 7.77 | 7.20 | 7.04 | — | — | |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
1 2021 Calculation
Receivables turnover = Revenues ÷ Receivables, net
= 12,191 ÷ 2,446 = 4.98
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. | Warner Bros. Discovery Inc. receivables turnover ratio deteriorated from 2019 to 2020 but then improved from 2020 to 2021 exceeding 2019 level. |
Payables Turnover
Warner Bros. Discovery Inc., payables turnover calculation, comparison to benchmarks
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Costs of revenues, excluding depreciation and amortization | 4,620) | 3,860) | 3,819) | 3,935) | 2,656) | |
| Accounts payable | 412) | 397) | 463) | 325) | 277) | |
| Short-term Activity Ratio | ||||||
| Payables turnover1 | 11.21 | 9.72 | 8.25 | 12.11 | 9.59 | |
| Benchmarks | ||||||
| Payables Turnover, Competitors2 | ||||||
| Alphabet Inc. | 18.38 | 15.16 | 12.93 | — | — | |
| Comcast Corp. | 3.09 | 2.91 | 3.18 | — | — | |
| Meta Platforms Inc. | 5.55 | 12.54 | 9.37 | — | — | |
| Netflix Inc. | 20.70 | 23.28 | 18.45 | — | — | |
| Walt Disney Co. | 2.76 | 3.33 | 3.05 | 5.03 | — | |
| Payables Turnover, Sector | ||||||
| Media & Entertainment | 5.90 | 6.03 | 5.39 | — | — | |
| Payables Turnover, Industry | ||||||
| Communication Services | 4.79 | 4.63 | 4.48 | — | — | |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
1 2021 Calculation
Payables turnover = Costs of revenues, excluding depreciation and amortization ÷ Accounts payable
= 4,620 ÷ 412 = 11.21
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. | Warner Bros. Discovery Inc. payables turnover ratio increased from 2019 to 2020 and from 2020 to 2021. |
Working Capital Turnover
Warner Bros. Discovery Inc., working capital turnover calculation, comparison to benchmarks
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Current assets | 7,264) | 6,130) | 5,217) | 4,231) | 9,991) | |
| Less: Current liabilities | 3,459) | 3,082) | 3,239) | 3,997) | 1,871) | |
| Working capital | 3,805) | 3,048) | 1,978) | 234) | 8,120) | |
| Revenues | 12,191) | 10,671) | 11,144) | 10,553) | 6,873) | |
| Short-term Activity Ratio | ||||||
| Working capital turnover1 | 3.20 | 3.50 | 5.63 | 45.10 | 0.85 | |
| Benchmarks | ||||||
| Working Capital Turnover, Competitors2 | ||||||
| Alphabet Inc. | 2.08 | 1.55 | 1.51 | — | — | |
| Comcast Corp. | — | — | — | — | — | |
| Meta Platforms Inc. | 2.59 | 1.42 | 1.38 | — | — | |
| Netflix Inc. | — | 12.78 | — | — | — | |
| Walt Disney Co. | 26.13 | 7.58 | — | — | — | |
| Working Capital Turnover, Sector | ||||||
| Media & Entertainment | 3.53 | 2.48 | 2.88 | — | — | |
| Working Capital Turnover, Industry | ||||||
| Communication Services | 7.57 | 4.32 | 6.31 | — | — | |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
1 2021 Calculation
Working capital turnover = Revenues ÷ Working capital
= 12,191 ÷ 3,805 = 3.20
2 Click competitor name to see calculations.
| Short-term activity ratio | Description | The company |
|---|---|---|
| Working capital turnover | An activity ratio calculated as revenue divided by working capital. | Warner Bros. Discovery Inc. working capital turnover ratio deteriorated from 2019 to 2020 and from 2020 to 2021. |
Average Receivable Collection Period
Warner Bros. Discovery Inc., average receivable collection period calculation, comparison to benchmarks
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data | ||||||
| Receivables turnover | 4.98 | 4.21 | 4.23 | 4.03 | 3.74 | |
| Short-term Activity Ratio (no. days) | ||||||
| Average receivable collection period1 | 73 | 87 | 86 | 91 | 98 | |
| Benchmarks (no. days) | ||||||
| Average Receivable Collection Period, Competitors2 | ||||||
| Alphabet Inc. | 56 | 62 | 57 | — | — | |
| Comcast Corp. | 38 | 40 | 38 | — | — | |
| Meta Platforms Inc. | 43 | 48 | 49 | — | — | |
| Netflix Inc. | 10 | 9 | 8 | — | — | |
| Walt Disney Co. | 72 | 71 | 81 | 57 | — | |
| Average Receivable Collection Period, Sector | ||||||
| Media & Entertainment | 49 | 53 | 53 | — | — | |
| Average Receivable Collection Period, Industry | ||||||
| Communication Services | 47 | 51 | 52 | — | — | |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
1 2021 Calculation
Average receivable collection period = 365 ÷ Receivables turnover
= 365 ÷ 4.98 = 73
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. | Warner Bros. Discovery Inc. number of days of receivables outstanding deteriorated from 2019 to 2020 but then improved from 2020 to 2021 exceeding 2019 level. |
Average Payables Payment Period
Warner Bros. Discovery Inc., average payables payment period calculation, comparison to benchmarks
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data | ||||||
| Payables turnover | 11.21 | 9.72 | 8.25 | 12.11 | 9.59 | |
| Short-term Activity Ratio (no. days) | ||||||
| Average payables payment period1 | 33 | 38 | 44 | 30 | 38 | |
| Benchmarks (no. days) | ||||||
| Average Payables Payment Period, Competitors2 | ||||||
| Alphabet Inc. | 20 | 24 | 28 | — | — | |
| Comcast Corp. | 118 | 125 | 115 | — | — | |
| Meta Platforms Inc. | 66 | 29 | 39 | — | — | |
| Netflix Inc. | 18 | 16 | 20 | — | — | |
| Walt Disney Co. | 132 | 110 | 120 | 73 | — | |
| Average Payables Payment Period, Sector | ||||||
| Media & Entertainment | 62 | 61 | 68 | — | — | |
| Average Payables Payment Period, Industry | ||||||
| Communication Services | 76 | 79 | 81 | — | — | |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
1 2021 Calculation
Average payables payment period = 365 ÷ Payables turnover
= 365 ÷ 11.21 = 33
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. | Warner Bros. Discovery Inc. number of days of payables outstanding decreased from 2019 to 2020 and from 2020 to 2021. |