Marathon Oil Corporation (MRO)
Working capital turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 6,697,000 | 8,036,000 | 5,467,000 | 3,086,000 | 5,190,000 |
| Total current assets | US$ in thousands | 1,569,000 | 1,671,000 | 1,821,000 | 1,612,000 | 2,135,000 |
| Total current liabilities | US$ in thousands | 3,922,000 | 2,306,000 | 1,637,000 | 1,213,000 | 1,745,000 |
| Working capital turnover | — | — | 29.71 | 7.73 | 13.31 |
December 31, 2023 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $6,697,000K ÷ ($1,569,000K – $3,922,000K)
= —
The working capital turnover ratio for Marathon Oil Corporation has exhibited fluctuations over the past five years. In 2021, the ratio was 30.44, indicating that the company generated $30.44 in revenue for every dollar of working capital. This substantial increase suggests efficient utilization of working capital to generate revenue during that period.
However, in 2020 and 2019, the working capital turnover ratios were 7.76 and 12.98, respectively. This shows a lower level of efficiency in utilizing working capital to generate revenue compared to 2021, although still demonstrating a moderate level of efficiency.
The absence of data for 2023 and 2022 limits a direct comparison with previous years' performance. It would be beneficial to analyze the trend over additional years to determine if the 2021 ratio reflects a sustainable improvement in working capital efficiency or an outlier in the company's performance.
Peer comparison
Dec 31, 2023