Marathon Petroleum Corp (MPC)

Receivables turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Revenue	US$ in thousands	148,082,000	176,526,000	119,456,000	68,692,000	123,949,000
Receivables	US$ in thousands	11,619,000	13,477,000	11,034,000	5,760,000	7,872,000
Receivables turnover		12.74	13.10	10.83	11.93	15.75

December 31, 2023 calculation

Receivables turnover = Revenue ÷ Receivables
= $148,082,000K ÷ $11,619,000K
= 12.74

The receivables turnover ratio for Marathon Petroleum Corp has fluctuated over the past five years. The ratio measures how efficiently the company is collecting cash from its credit sales within a given period. A higher turnover ratio indicates that the company is collecting its receivables more quickly.

In 2023, the receivables turnover ratio was 12.85, which was slightly lower compared to 2022 when it was at 13.23. This decrease suggests that the company took slightly longer to collect cash from its credit sales in 2023.

Looking further back, in 2021, the ratio was 10.92, showing a decrease in collection efficiency compared to 2020 when it was 12.13. The most efficient year for receivables turnover in the past five years was 2019, with a ratio of 15.77, indicating that the company was collecting its receivables at a faster pace.

Overall, while there have been fluctuations in receivables turnover, Marathon Petroleum Corp has generally maintained a reasonable level of efficiency in collecting cash from credit sales over the years, with room for potential improvements and optimizations in its receivables management processes.