Murphy Oil Corporation (MUR)

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	3,019,984	3,193,222	3,393,819	3,405,662	3,450,782	3,592,703	3,805,347	4,188,737	4,220,143	3,996,334	3,517,473	3,080,062	2,801,215	2,478,987	2,216,762	1,743,678	1,751,709	2,068,611	2,393,624	2,753,993
Property, plant and equipment	US$ in thousands	—	—	—	—	—	9,010,160	8,426,040	8,363,000	9,174,400	8,249,390	8,295,660	8,237,740	8,127,900	9,030,810	9,198	8,216,720	8,269,040	8,592,830	8,891,420	8,956,300
Fixed asset turnover		—	—	—	—	—	0.40	0.45	0.50	0.46	0.48	0.42	0.37	0.34	0.27	241.00	0.21	0.21	0.24	0.27	0.31

December 31, 2024 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $3,019,984K ÷ $—K
= —

Fixed asset turnover is a financial ratio that measures a company's ability to generate revenue from its investment in fixed assets. For Murphy Oil Corporation, we observe fluctuations in the fixed asset turnover ratio over the years.

From March 2020 to September 2021, the fixed asset turnover ratio for Murphy Oil Corporation declined steadily, indicating that the company was less efficient in utilizing its fixed assets to generate sales.

However, from December 2021 to June 2023, there was a notable improvement in the fixed asset turnover ratio, suggesting that the company was able to generate more revenue relative to its investment in fixed assets during this period.

In the latter half of 2023, the fixed asset turnover ratio remained relatively stable before showing a slight increase in March 2024. However, data for the latter part of 2024 is not available, making it difficult to assess the trend further.

Overall, it is essential for Murphy Oil Corporation to continuously monitor and manage its fixed asset turnover ratio to ensure optimal utilization of its fixed assets and maximize its revenue generation.