Matador Resources Company (MTDR)

Fixed asset 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	3,504,981	3,370,744	3,243,255	3,034,202	2,806,785	2,678,128	2,746,762	3,052,609	3,058,025	2,916,908	2,548,331	1,961,828	1,662,981	1,320,858	1,051,893	757,386	862,126	926,566	1,002,582	1,181,366
Property, plant and equipment	US$ in thousands	9,760,840	9,545,670	7,677,790	7,378,850	6,956,440	6,675,940	6,439,250	4,706,160	4,418,200	4,318,270	4,103,580	3,995,640	3,856,680	3,536,180	3,462,030	3,437,360	3,367,770	3,482,510	3,662,930	3,887,230
Fixed asset turnover		0.36	0.35	0.42	0.41	0.40	0.40	0.43	0.65	0.69	0.68	0.62	0.49	0.43	0.37	0.30	0.22	0.26	0.27	0.27	0.30

December 31, 2024 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $3,504,981K ÷ $9,760,840K
= 0.36

Matador Resources Company's fixed asset turnover has exhibited fluctuating trends over the analyzed periods. The ratio decreased from 0.30 as of March 31, 2020, to 0.26 as of December 31, 2020, indicating a decline in the company's efficiency in generating sales from its fixed assets during that period. However, there was a notable improvement in the fixed asset turnover from March 31, 2021, to June 30, 2022, where the ratio increased steadily from 0.22 to 0.62, suggesting an enhancement in the company's ability to utilize its fixed assets to generate revenues.

Subsequently, there was further variability in the fixed asset turnover ratio, with fluctuations observed in the range of 0.40 to 0.69 from March 31, 2023, to December 31, 2024. These fluctuations may indicate varying levels of operational efficiency and sales generation capabilities tied to the utilization of fixed assets within Matador Resources Company.

Overall, the trend analysis reveals that Matador Resources Company's fixed asset turnover has demonstrated both improvements and declines over the analyzed periods, requiring further evaluation to assess the underlying factors influencing these changes and their implications for the company's operational performance and asset utilization efficiency.