Coterra Energy Inc (CTRA)
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 | 5,458,000 | 5,659,000 | 5,656,000 | 5,570,000 | 5,914,000 | 6,598,000 | 7,762,000 | 9,149,000 | 9,051,000 | 8,996,000 | 6,916,000 | 4,668,000 | 3,449,000 | 1,680,778 | 1,531,819 | 1,540,167 | 1,466,624 | 1,471,214 | 1,609,284 | 1,811,053 |
| Total current assets | US$ in thousands | 3,321,000 | 1,735,000 | 2,337,000 | 2,550,000 | 2,015,000 | 1,713,000 | 1,640,000 | 2,005,000 | 2,211,000 | 2,350,000 | 2,832,000 | 2,597,000 | 2,136,000 | 442,723 | 396,066 | 411,915 | 416,000 | 322,552 | 463,934 | 541,789 |
| Total current liabilities | US$ in thousands | 1,136,000 | 1,080,000 | 1,665,000 | 1,709,000 | 1,660,000 | 1,640,000 | 941,000 | 1,209,000 | 1,193,000 | 1,415,000 | 1,570,000 | 1,659,000 | 1,220,000 | 466,010 | 378,684 | 315,092 | 390,000 | 385,928 | 381,388 | 387,177 |
| Working capital turnover | 2.50 | 8.64 | 8.42 | 6.62 | 16.66 | 90.38 | 11.10 | 11.49 | 8.89 | 9.62 | 5.48 | 4.98 | 3.77 | — | 88.13 | 15.91 | 56.41 | — | 19.50 | 11.71 |
December 31, 2024 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $5,458,000K ÷ ($3,321,000K – $1,136,000K)
= 2.50
Working capital turnover is a measure of how efficiently a company is utilizing its working capital to generate sales. It indicates the number of times a company's working capital is turned over in generating sales revenue during a specific period.
Analyzing the data for Coterra Energy Inc, we observe fluctuations in the working capital turnover over the years. The working capital turnover ratio ranged from a peak of 90.38 in September 2023 to a low of 2.50 in December 2024.
A high working capital turnover ratio signifies that the company is efficiently using its working capital to generate sales, while a low ratio could indicate that the company is inefficiently managing its working capital.
In the case of Coterra Energy Inc, we see that the working capital turnover ratio experienced significant fluctuations throughout the periods, showing inconsistencies in how efficiently the company was utilizing its working capital to generate sales revenue.
It is important for the company to closely monitor and manage its working capital turnover ratio to ensure optimal utilization of resources and to maintain financial health and efficiency in its operations.
Peer comparison
Dec 31, 2024