GURUFOCUS.COM » STOCK LIST » Communication Services » Telecommunication Services » tw telecom inc (FRA:TWM) » Definitions » Accounts Receivable

tw telecom (FRA:TWM) Accounts Receivable : €78 Mil (As of Jun. 2014)


View and export this data going back to . Start your Free Trial

What is tw telecom Accounts Receivable?

Accounts Receivable are created when a customer has received a product but has not yet paid for that product. tw telecom's accounts receivables for the quarter that ended in Jun. 2014 was €78 Mil.

Accounts receivable can be measured by Days Sales Outstanding. tw telecom's Days Sales Outstanding for the quarter that ended in Jun. 2014 was 23.12.

In Ben Graham's calculation of Net-Net Working Capital, accounts receivable are only considered to be worth 75% of book value. tw telecom's Net-Net Working Capital per share for the quarter that ended in Jun. 2014 was €-9.75.

tw telecom Accounts Receivable Historical Data

The historical data trend for tw telecom's Accounts Receivable can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

tw telecom Accounts Receivable Chart

tw telecom Annual Data
Trend Dec04 Dec05 Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13
Accounts Receivable
Get a 7-Day Free Trial Premium Member Only Premium Member Only - - 73.10 75.97 78.30

tw telecom Quarterly Data
Sep09 Dec09 Mar10 Jun10 Sep10 Dec10 Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14
Accounts Receivable Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 83.20 77.56 78.30 71.44 78.26

tw telecom Accounts Receivable Calculation

Accounts Receivable is money owed to a business by customers and shown on its Balance Sheet as an asset.

tw telecom Accounts Receivable Explanation

1. Accounts Receivable are created when a customer has received a product but has not yet paid for that product. Days Sales Outstanding measures of the average number of days that a company takes to collect revenue after a sale has been made. It is a financial ratio that illustrates how well a company's accounts receivables are being managed.

tw telecom's Days Sales Outstanding for the quarter that ended in Jun. 2014 is calculated as:

Days Sales Outstanding
=Accounts Receivable/Revenue*Days in Period
=78.263/308.901*91
=23.12

2. In Ben Graham's calculation of Net-Net Working Capital (NNWC), tw telecom's accounts receivable are only considered to be worth 75% of book value:

tw telecom's Net-Net Working Capital Per Share for the quarter that ended in Jun. 2014 is calculated as:

Net-Net Working Capital Per Share
=(Cash And Cash Equivalents+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(267.703+0.75 * 78.263+0.5 * 0-1672.533
-0-0)/138.052
=-9.75

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Be Aware

Net receivables tells us a great deal about the different competitors in the same industry. In competitive industries, some attempt to gain advantage by offering better credit terms, causing increase in sales and receivables.

If company consistently shows lower % Net receivables to gross sales than competitors, then it usually has some kind of competitive advantage which requires further digging.

Average Days Sales Outstanding is a good indicator for measuring a company's sales channel and customers. A company may book great revenue and earnings growth but never receive payment from their customers. This may force a write-off in the future and depress future earnings.

tw telecom Accounts Receivable Related Terms

Thank you for viewing the detailed overview of tw telecom's Accounts Receivable provided by GuruFocus.com. Please click on the following links to see related term pages.

tw telecom (FRA:TWM) Business Description

Industry
GURUFOCUS.COM » STOCK LIST » Communication Services » Telecommunication Services » tw telecom inc (FRA:TWM) » Definitions » Accounts Receivable
Comparable Companies
IST:TCELL PHS:GLO XTER:DRI TSE:2371 DHA:GP NZSE:SPK XKRX:032640 PHS:TEL WBO:TKA BKK:TRUE SAU:7020 XBRU:TNET HKSE:00552 HKSE:00008 TIGO TSX:CCA BKK:DTAC IST:TTKOM XKRX:030200 MIL:INW
Traded in Other Exchanges
N/A
Address
Website
http://www.twtelecom.com
Tw telecom inc was formed in 1998. The Company together with its wholly-owned subsidiaries provide managed network services, specializing in business Ethernet, data networking, Converged, IP-based virtual private network or "IP VPN", Internet access, voice, including voice over Internet Protocol or "VoIP", and network security services to enterprise organizations, including public sector entities, and carriers throughout the U.S., including global locations. It offers a portfolio of solutions to its customers with predictable and reliable service quality. It designs and deliver scalable and efficient solutions that enable its customers complex and evolving business applications. These solutions emphasize its data networking service offerings, which include an expanding portfolio of business Ethernet data services, managed network services and its converged service offerings comprised of data, Internet, voice, security, remote access and managed routers. It also provides a broad range of traditional services, including a dedicated network service portfolio with private line, special access and private transport services, voice services and secure Internet access. Its customers include enterprise organizations in a wide variety of industry segments, including, among others, the financial services, technology and science, health care, distribution, manufacturing and professional services industries, data centers, cloud application providers, public sector entities, system integrators and communications service providers, including ILECs, CLECs, wireless communications companies and cable companies. Its primary competition is from the ILECs, CLECs and cable companies. The ILECs, primarily AT&T Inc., Verizon Communications, Inc. and CenturyLink Inc., other CLECs and some cable companies offer services substantially similar to some of those it offers and target some of the same customers. The Company is subject to regulation by the Federal Communications Commission ("FCC"), state regulatory authorities and local government agencies.