Stock Analysis on Net
Stock Analysis on Net
Microsoft Excel LibreOffice Calc

Walt Disney Co. (NYSE:DIS)

Analysis of Short-term (Operating) Activity Ratios

Beginner level

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)

Walt Disney Co., short-term (operating) activity ratios

Microsoft Excel LibreOffice Calc
Oct 3, 2020 Sep 28, 2019 Sep 29, 2018 Sep 30, 2017 Oct 1, 2016 Oct 3, 2015
Turnover Ratios
Inventory turnover 27.72 25.48 23.51 22.07 21.58 18.05
Receivables turnover 5.15 4.49 6.37 6.39 6.14 6.54
Payables turnover 3.47 3.05 5.03 4.67 4.37 5.15
Working capital turnover 7.58 — — — 448.65 123.74
Average No. Days
Average inventory processing period 13 14 16 17 17 20
Add: Average receivable collection period 71 81 57 57 59 56
Operating cycle 84 95 73 74 76 76
Less: Average payables payment period 105 120 73 78 83 71
Cash conversion cycle -21 -25 0 -4 -7 5

Based on: 10-K (filing date: 2020-11-25), 10-K (filing date: 2019-11-20), 10-K (filing date: 2018-11-21), 10-K (filing date: 2017-11-22), 10-K (filing date: 2016-11-23), 10-K (filing date: 2015-11-25).

Short-term activity ratio Description The company
Inventory turnover An activity ratio calculated as cost of goods sold divided by inventory. Walt Disney Co.’s inventory turnover ratio improved from 2018 to 2019 and from 2019 to 2020.
Receivables turnover An activity ratio equal to revenue divided by receivables. Walt Disney Co.’s receivables turnover ratio deteriorated from 2018 to 2019 but then slightly improved from 2019 to 2020.
Payables turnover An activity ratio calculated as cost of goods sold divided by payables. Walt Disney Co.’s payables turnover ratio decreased from 2018 to 2019 but then slightly increased from 2019 to 2020.
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. Walt Disney Co.’s number of days of inventory outstanding improved from 2018 to 2019 and from 2019 to 2020.
Average receivable collection period An activity ratio equal to the number of days in the period divided by receivables turnover. Walt Disney Co.’s number of days of receivables outstanding deteriorated from 2018 to 2019 but then slightly improved from 2019 to 2020.
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. Walt Disney Co.’s number of days of payables outstanding increased from 2018 to 2019 but then slightly decreased from 2019 to 2020.
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. Walt Disney Co.’s cash conversion cycle improved from 2018 to 2019 but then slightly deteriorated from 2019 to 2020.

Inventory Turnover

Walt Disney Co., inventory turnover calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Oct 3, 2020 Sep 28, 2019 Sep 29, 2018 Sep 30, 2017 Oct 1, 2016 Oct 3, 2015
Selected Financial Data (US$ in millions)
Cost of revenues, exclusive of depreciation and amortization 43,880  42,018  32,726  30,306  29,993  28,364 
Inventories 1,583  1,649  1,392  1,373  1,390  1,571 
Short-term Activity Ratio
Inventory turnover1 27.72 25.48 23.51 22.07 21.58 18.05
Benchmarks
Inventory Turnover, Sector
Media 77.20 71.63 72.02 65.47 56.94 —
Inventory Turnover, Industry
Consumer Services 9.13 8.81 8.51 8.33 8.28 —

Based on: 10-K (filing date: 2020-11-25), 10-K (filing date: 2019-11-20), 10-K (filing date: 2018-11-21), 10-K (filing date: 2017-11-22), 10-K (filing date: 2016-11-23), 10-K (filing date: 2015-11-25).

1 2020 Calculation
Inventory turnover = Cost of revenues, exclusive of depreciation and amortization ÷ Inventories
= 43,880 ÷ 1,583 = 27.72

Short-term activity ratio Description The company
Inventory turnover An activity ratio calculated as cost of goods sold divided by inventory. Walt Disney Co.’s inventory turnover ratio improved from 2018 to 2019 and from 2019 to 2020.

Receivables Turnover

Walt Disney Co., receivables turnover calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Oct 3, 2020 Sep 28, 2019 Sep 29, 2018 Sep 30, 2017 Oct 1, 2016 Oct 3, 2015
Selected Financial Data (US$ in millions)
Revenues 65,388  69,570  59,434  55,137  55,632  52,465 
Receivables 12,708  15,481  9,334  8,633  9,065  8,019 
Short-term Activity Ratio
Receivables turnover1 5.15 4.49 6.37 6.39 6.14 6.54
Benchmarks
Receivables Turnover, Competitors2
Charter Communications Inc. 21.85 20.55 25.18 25.43 20.25 —
Comcast Corp. 9.03 9.65 8.51 9.89 10.11 —
Netflix Inc. 40.92 44.36 43.55 — — —
Receivables Turnover, Sector
Media 8.97 8.30 9.47 10.25 9.42 —
Receivables Turnover, Industry
Consumer Services 23.45 22.05 23.85 26.85 28.23 —

Based on: 10-K (filing date: 2020-11-25), 10-K (filing date: 2019-11-20), 10-K (filing date: 2018-11-21), 10-K (filing date: 2017-11-22), 10-K (filing date: 2016-11-23), 10-K (filing date: 2015-11-25).

1 2020 Calculation
Receivables turnover = Revenues ÷ Receivables
= 65,388 ÷ 12,708 = 5.15

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. Walt Disney Co.’s receivables turnover ratio deteriorated from 2018 to 2019 but then slightly improved from 2019 to 2020.

Payables Turnover

Walt Disney Co., payables turnover calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Oct 3, 2020 Sep 28, 2019 Sep 29, 2018 Sep 30, 2017 Oct 1, 2016 Oct 3, 2015
Selected Financial Data (US$ in millions)
Cost of revenues, exclusive of depreciation and amortization 43,880  42,018  32,726  30,306  29,993  28,364 
Accounts payable 12,663  13,778  6,503  6,490  6,860  5,504 
Short-term Activity Ratio
Payables turnover1 3.47 3.05 5.03 4.67 4.37 5.15
Benchmarks
Payables Turnover, Competitors2
Charter Communications Inc. 39.23 37.18 36.75 35.87 41.09 —
Comcast Corp. 2.91 3.18 3.50 3.67 3.54 —
Netflix Inc. 23.28 18.45 17.70 21.30 19.27 —
Payables Turnover, Sector
Media 4.80 4.53 6.14 6.19 5.44 —
Payables Turnover, Industry
Consumer Services 6.65 7.06 7.42 7.67 8.28 —

Based on: 10-K (filing date: 2020-11-25), 10-K (filing date: 2019-11-20), 10-K (filing date: 2018-11-21), 10-K (filing date: 2017-11-22), 10-K (filing date: 2016-11-23), 10-K (filing date: 2015-11-25).

1 2020 Calculation
Payables turnover = Cost of revenues, exclusive of depreciation and amortization ÷ Accounts payable
= 43,880 ÷ 12,663 = 3.47

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. Walt Disney Co.’s payables turnover ratio decreased from 2018 to 2019 but then slightly increased from 2019 to 2020.

Working Capital Turnover

Walt Disney Co., working capital turnover calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Oct 3, 2020 Sep 28, 2019 Sep 29, 2018 Sep 30, 2017 Oct 1, 2016 Oct 3, 2015
Selected Financial Data (US$ in millions)
Current assets 35,251  28,124  16,825  15,889  16,966  16,758 
Less: Current liabilities 26,628  31,341  17,860  19,595  16,842  16,334 
Working capital 8,623  (3,217) (1,035) (3,706) 124  424 
 
Revenues 65,388  69,570  59,434  55,137  55,632  52,465 
Short-term Activity Ratio
Working capital turnover1 7.58 — — — 448.65 123.74
Benchmarks
Working Capital Turnover, Competitors2
Charter Communications Inc. — — — — — —
Comcast Corp. — — — — — —
Netflix Inc. 12.78 — 4.93 5.31 7.79 —
Working Capital Turnover, Sector
Media 94.74 — — — — —
Working Capital Turnover, Industry
Consumer Services 880.78 — — — 240.93 —

Based on: 10-K (filing date: 2020-11-25), 10-K (filing date: 2019-11-20), 10-K (filing date: 2018-11-21), 10-K (filing date: 2017-11-22), 10-K (filing date: 2016-11-23), 10-K (filing date: 2015-11-25).

1 2020 Calculation
Working capital turnover = Revenues ÷ Working capital
= 65,388 ÷ 8,623 = 7.58

2 Click competitor name to see calculations.

Average Inventory Processing Period

Walt Disney Co., average inventory processing period calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Oct 3, 2020 Sep 28, 2019 Sep 29, 2018 Sep 30, 2017 Oct 1, 2016 Oct 3, 2015
Selected Financial Data
Inventory turnover 27.72 25.48 23.51 22.07 21.58 18.05
Short-term Activity Ratio (no. days)
Average inventory processing period1 13 14 16 17 17 20
Benchmarks (no. days)
Average Inventory Processing Period, Sector
Media 5 5 5 6 6 —
Average Inventory Processing Period, Industry
Consumer Services 40 41 43 44 44 —

Based on: 10-K (filing date: 2020-11-25), 10-K (filing date: 2019-11-20), 10-K (filing date: 2018-11-21), 10-K (filing date: 2017-11-22), 10-K (filing date: 2016-11-23), 10-K (filing date: 2015-11-25).

1 2020 Calculation
Average inventory processing period = 365 ÷ Inventory turnover
= 365 ÷ 27.72 = 13

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. Walt Disney Co.’s number of days of inventory outstanding improved from 2018 to 2019 and from 2019 to 2020.

Average Receivable Collection Period

Walt Disney Co., average receivable collection period calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Oct 3, 2020 Sep 28, 2019 Sep 29, 2018 Sep 30, 2017 Oct 1, 2016 Oct 3, 2015
Selected Financial Data
Receivables turnover 5.15 4.49 6.37 6.39 6.14 6.54
Short-term Activity Ratio (no. days)
Average receivable collection period1 71 81 57 57 59 56
Benchmarks (no. days)
Average Receivable Collection Period, Competitors2
Charter Communications Inc. 17 18 14 14 18 —
Comcast Corp. 40 38 43 37 36 —
Netflix Inc. 9 8 8 — — —
Average Receivable Collection Period, Sector
Media 41 44 39 36 39 —
Average Receivable Collection Period, Industry
Consumer Services 16 17 15 14 13 —

Based on: 10-K (filing date: 2020-11-25), 10-K (filing date: 2019-11-20), 10-K (filing date: 2018-11-21), 10-K (filing date: 2017-11-22), 10-K (filing date: 2016-11-23), 10-K (filing date: 2015-11-25).

1 2020 Calculation
Average receivable collection period = 365 ÷ Receivables turnover
= 365 ÷ 5.15 = 71

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. Walt Disney Co.’s number of days of receivables outstanding deteriorated from 2018 to 2019 but then slightly improved from 2019 to 2020.

Operating Cycle

Walt Disney Co., operating cycle calculation, comparison to benchmarks

No. days

Microsoft Excel LibreOffice Calc
Oct 3, 2020 Sep 28, 2019 Sep 29, 2018 Sep 30, 2017 Oct 1, 2016 Oct 3, 2015
Selected Financial Data
Average inventory processing period 13 14 16 17 17 20
Average receivable collection period 71 81 57 57 59 56
Short-term Activity Ratio
Operating cycle1 84 95 73 74 76 76
Benchmarks
Operating Cycle, Sector
Media 46 49 44 42 45 —
Operating Cycle, Industry
Consumer Services 56 58 58 58 57 —

Based on: 10-K (filing date: 2020-11-25), 10-K (filing date: 2019-11-20), 10-K (filing date: 2018-11-21), 10-K (filing date: 2017-11-22), 10-K (filing date: 2016-11-23), 10-K (filing date: 2015-11-25).

1 2020 Calculation
Operating cycle = Average inventory processing period + Average receivable collection period
= 13 + 71 = 84

Short-term activity ratio Description The company
Operating cycle Equal to average inventory processing period plus average receivables collection period.

Average Payables Payment Period

Walt Disney Co., average payables payment period calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Oct 3, 2020 Sep 28, 2019 Sep 29, 2018 Sep 30, 2017 Oct 1, 2016 Oct 3, 2015
Selected Financial Data
Payables turnover 3.47 3.05 5.03 4.67 4.37 5.15
Short-term Activity Ratio (no. days)
Average payables payment period1 105 120 73 78 83 71
Benchmarks (no. days)
Average Payables Payment Period, Competitors2
Charter Communications Inc. 9 10 10 10 9 —
Comcast Corp. 125 115 104 100 103 —
Netflix Inc. 16 20 21 17 19 —
Average Payables Payment Period, Sector
Media 76 81 59 59 67 —
Average Payables Payment Period, Industry
Consumer Services 55 52 49 48 44 —

Based on: 10-K (filing date: 2020-11-25), 10-K (filing date: 2019-11-20), 10-K (filing date: 2018-11-21), 10-K (filing date: 2017-11-22), 10-K (filing date: 2016-11-23), 10-K (filing date: 2015-11-25).

1 2020 Calculation
Average payables payment period = 365 ÷ Payables turnover
= 365 ÷ 3.47 = 105

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. Walt Disney Co.’s number of days of payables outstanding increased from 2018 to 2019 but then slightly decreased from 2019 to 2020.

Cash Conversion Cycle

Walt Disney Co., cash conversion cycle calculation, comparison to benchmarks

No. days

Microsoft Excel LibreOffice Calc
Oct 3, 2020 Sep 28, 2019 Sep 29, 2018 Sep 30, 2017 Oct 1, 2016 Oct 3, 2015
Selected Financial Data
Average inventory processing period 13 14 16 17 17 20
Average receivable collection period 71 81 57 57 59 56
Average payables payment period 105 120 73 78 83 71
Short-term Activity Ratio
Cash conversion cycle1 -21 -25 0 -4 -7 5
Benchmarks
Cash Conversion Cycle, Sector
Media -30 -32 -15 -17 -22 —
Cash Conversion Cycle, Industry
Consumer Services 1 6 9 10 13 —

Based on: 10-K (filing date: 2020-11-25), 10-K (filing date: 2019-11-20), 10-K (filing date: 2018-11-21), 10-K (filing date: 2017-11-22), 10-K (filing date: 2016-11-23), 10-K (filing date: 2015-11-25).

1 2020 Calculation
Cash conversion cycle = Average inventory processing period + Average receivable collection period – Average payables payment period
= 13 + 71 – 105 = -21

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. Walt Disney Co.’s cash conversion cycle improved from 2018 to 2019 but then slightly deteriorated from 2019 to 2020.