ConocoPhillips (COP)
Receivables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 56,141,000 | 78,494,000 | 45,828,000 | 18,784,000 | 36,670,000 |
| Receivables | US$ in thousands | -3,000 | 11,000 | 125,000 | 116,000 | 3,401,000 |
| Receivables turnover | — | 7,135.82 | 366.62 | 161.93 | 10.78 |
December 31, 2023 calculation
Receivables turnover = Revenue ÷ Receivables
= $56,141,000K ÷ $-3,000K
= —
Conoco Phillips' receivables turnover has displayed some fluctuations over the past five years. The ratio indicates the number of times a company collects its accounts receivable during a period. A higher receivables turnover ratio is generally preferred as it suggests that the company is efficient in collecting outstanding payments from customers.
Analyzing the trend, we observe that the receivables turnover ratio was 10.26 in 2023, compared to 11.07 in 2022. This decrease may imply a slight slowdown in the collection of accounts receivable in 2023 compared to the previous year. However, the ratio remains relatively high, indicating that Conoco Phillips is efficient in managing its accounts receivable.
Looking further back, the ratio was 6.87 in 2021, 6.82 in 2020, and 9.58 in 2019. The significant increase in the ratio from 2020 to 2021 and the subsequent maintenance of a higher ratio in the following years suggest an improvement in the company's collection efficiency.
Overall, Conoco Phillips' receivables turnover indicates a generally positive trend, with some fluctuations, but still reflecting effective management of accounts receivable. It would be beneficial for the company to continue monitoring and improving its collection processes to ensure timely receipt of payments from customers.
Peer comparison
Dec 31, 2023