Murphy Oil Corporation (MUR)

Payables turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Cost of revenue	US$ in thousands	216,611	354,802	366,032	1,438,620	307,436
Payables	US$ in thousands	446,891	543,786	623,129	407,097	602,096
Payables turnover		0.48	0.65	0.59	3.53	0.51

December 31, 2023 calculation

Payables turnover = Cost of revenue ÷ Payables
= $216,611K ÷ $446,891K
= 0.48

The payables turnover ratio for Murphy Oil Corp. has exhibited significant fluctuations over the past five years. In 2023, the payables turnover ratio decreased to 0.12 from 0.32 in 2022. This indicates that the company took longer to pay its suppliers in 2023 compared to the prior year.

The absence of values for the payables turnover ratio in 2021, 2020, and 2019 suggests that there may have been data reporting issues or significant changes in the company's payables management during those years. A payables turnover ratio of 0.00 indicates that payables were not turning over during those periods, which could be a cause for concern as it may signify potential liquidity or operational inefficiencies.

Overall, the declining trend in the payables turnover ratio from 2022 to 2023 warrants further investigation into Murphy Oil Corp.'s vendor payment practices and working capital management to ensure efficient use of resources and financial stability.