Magnolia Oil & Gas Corp (MGY)
Total asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 1,315,890 | 1,226,980 | 1,694,490 | 1,078,350 | 541,303 |
| Total assets | US$ in thousands | 2,820,840 | 2,756,220 | 2,572,580 | 1,746,740 | 1,453,420 |
| Total asset turnover | 0.47 | 0.45 | 0.66 | 0.62 | 0.37 |
December 31, 2024 calculation
Total asset turnover = Revenue ÷ Total assets
= $1,315,890K ÷ $2,820,840K
= 0.47
Total asset turnover is a financial ratio that indicates how efficiently a company is utilizing its assets to generate revenue. In the case of Magnolia Oil & Gas Corp, the trend in total asset turnover over the last five years shows variability.
- As of December 31, 2020, the total asset turnover was relatively low at 0.37, suggesting that the company generated $0.37 in revenue for every $1 of assets it had during that period.
- By December 31, 2021, the total asset turnover improved significantly to 0.62, indicating better asset utilization and an increase in revenue generation efficiency.
- The trend continued to improve in 2022, with a total asset turnover of 0.66, reflecting further optimization in asset utilization and revenue generation.
- However, by December 31, 2023, the total asset turnover dropped to 0.45, signaling a decline in efficiency in converting assets into revenue.
- In the latest period ending December 31, 2024, the total asset turnover slightly recovered to 0.47, although it remains below the peak achieved in 2022.
Overall, the variability in Magnolia Oil & Gas Corp's total asset turnover indicates fluctuations in the efficiency of asset utilization and revenue generation over the years. It would be important for the company to analyze the factors contributing to these fluctuations to ensure sustainable and optimal use of its assets in generating revenue.
Peer comparison
Dec 31, 2024