Accounts Receivable is typical for the industry, with an average 40 day average collection period. Last, inventories seem to be well managed as the inventory processing period is typical for the industry, at 18 days. In tough economic times, Sprint is generating substantial cash and reducing costs to ensure to remain financially sound. They have cash on hand to be able to meet their debt requirements. The company is expected to continue generating positive free cash flow during 2009.
Sprint Nextel Corporation has been having a rough time trying to keep up with its competitions, AT&T and Verizon. Sprint Nextel has been posting loss after loss, loss in profit, loss in number of subscribers, and so on, but despite how things appear on the surface, analyst appear to be optimistic with the future outcome of Sprint Nextel financial position. There is no indication as to how long it will take Sprint Nextel to accomplish this goal, the numbers are consistently moving in a positive direction.