ConocoPhillips (COP)
Payables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 23,163,000 | 35,058,000 | 20,043,000 | 9,736,000 | 13,228,000 |
| Payables | US$ in thousands | — | 6,113,000 | 5,002,000 | 2,669,000 | 3,176,000 |
| Payables turnover | — | 5.73 | 4.01 | 3.65 | 4.16 |
December 31, 2023 calculation
Payables turnover = Cost of revenue ÷ Payables
= $23,163,000K ÷ $—K
= —
Conoco Phillips' payables turnover ratio has fluctuated over the past five years, ranging from 2.99 to 5.51. A higher payables turnover ratio indicates that the company pays off its suppliers more quickly, which can be a positive sign of strong liquidity and efficient working capital management.
In 2022, the payables turnover ratio was at its peak of 5.51, suggesting that Conoco Phillips was efficiently managing its accounts payable by paying suppliers more frequently. However, in 2023, the ratio decreased to 4.29, indicating a slightly slower pace of paying off suppliers compared to the previous year.
Overall, the fluctuation in the payables turnover ratio for Conoco Phillips suggests variations in the company's management of accounts payable and cash flow dynamics over the years. Monitoring this ratio can provide insights into the efficiency of the company's working capital management strategies.
Peer comparison
Dec 31, 2023