Chord Energy Corp (CHRD)
Fixed asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 5,251,080 | 3,896,640 | 3,646,790 | 1,579,930 | 1,083,330 |
| Property, plant and equipment | US$ in thousands | — | — | 4,737,020 | 1,337,340 | 855,114 |
| Fixed asset turnover | — | — | 0.77 | 1.18 | 1.27 |
December 31, 2024 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $5,251,080K ÷ $—K
= —
Chord Energy Corp's fixed asset turnover ratio has exhibited a downward trend over the years. The ratio decreased from 1.27 in December 31, 2020, to 1.18 in December 31, 2021, and further declined to 0.77 in December 31, 2022. This suggests that the company's ability to generate sales revenue from its fixed assets has weakened over this period.
The absence of data for December 31, 2023, and December 31, 2024, makes it difficult to assess the trend further. However, the decreasing trend observed until 2022 raises concerns about the efficiency of Chord Energy Corp's utilization of its fixed assets to generate revenue.
A declining fixed asset turnover ratio may indicate issues such as underutilization of fixed assets, inefficient asset management, or a drop in sales relative to the investment in fixed assets. It would be advisable for Chord Energy Corp to review and improve its operational strategies to enhance the utilization of fixed assets and optimize revenue generation in the future.
Peer comparison
Dec 31, 2024