ConocoPhillips (COP)
Working capital turnover
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 55,276,000 | 55,684,000 | 56,330,000 | 55,093,000 | 56,056,000 | 59,970,000 | 66,733,000 | 75,543,000 | 78,494,000 | 75,056,000 | 65,369,000 | 53,764,000 | 45,828,000 | 36,199,000 | 29,259,000 | 22,452,000 | 18,784,000 | 21,001,000 | 24,371,000 | 29,575,000 |
| Total current assets | US$ in thousands | 15,647,000 | 13,984,000 | 13,734,000 | 13,721,000 | 14,330,000 | 17,181,000 | 13,501,000 | 16,116,000 | 18,749,000 | 20,453,000 | 18,860,000 | 17,586,000 | 16,050,000 | 20,181,000 | 17,172,000 | 12,066,000 | 12,066,000 | 11,059,000 | 11,053,000 | 13,144,000 |
| Total current liabilities | US$ in thousands | 12,124,000 | 10,765,000 | 10,324,000 | 10,163,000 | 10,005,000 | 10,338,000 | 9,548,000 | 11,553,000 | 12,847,000 | 13,997,000 | 12,216,000 | 11,624,000 | 12,021,000 | 10,449,000 | 8,150,000 | 5,366,000 | 5,366,000 | 4,640,000 | 4,105,000 | 6,075,000 |
| Working capital turnover | 15.69 | 17.30 | 16.52 | 15.48 | 12.96 | 8.76 | 16.88 | 16.56 | 13.30 | 11.63 | 9.84 | 9.02 | 11.37 | 3.72 | 3.24 | 3.35 | 2.80 | 3.27 | 3.51 | 4.18 |
December 31, 2024 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $55,276,000K ÷ ($15,647,000K – $12,124,000K)
= 15.69
Working capital turnover measures how efficiently a company is utilizing its working capital to generate sales revenue. A higher ratio indicates better efficiency in managing working capital.
Analyzing ConocoPhillips' working capital turnover over the specified periods, we observe fluctuations in the ratio. The ratio ranged from a low of 2.80 in December 2020 to a high of 17.30 in September 2024.
The trend in the working capital turnover shows a general increase from 2020 to 2024, with occasional fluctuations. A rising trend generally indicates improved efficiency in utilizing working capital to generate sales.
The significant increase in the working capital turnover from December 2021 to March 2022 and its subsequent upward trend until June 2024 indicate that ConocoPhillips has been more effective in converting its working capital into revenue during these periods.
However, it is worth noting the decrease in the ratio from June 2024 to September 2024. This may indicate a temporary decline in efficiency in utilizing working capital, which should be further investigated.
Overall, the working capital turnover ratio for ConocoPhillips demonstrates variations over the analyzed periods, suggesting fluctuations in the efficiency of working capital management.
Peer comparison
Dec 31, 2024