Northern Oil & Gas Inc (NOG)

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 2,129,538 1,925,152 1,723,637 1,578,228 1,471,907 1,606,963 1,827,040 1,957,898 1,985,798 1,872,524 1,598,144 1,274,218 975,092 742,234 556,247 351,197 324,069 385,263 469,572 598,754
Property, plant and equipment US$ in thousands — — — — — 3,788,640 3,216,980 2,915,940 2,482,930 2,015,060 1,771,250 1,689,540 1,253,340 1,064,510 930,080 742,385 735,204 823,002 1,009,080 1,773,800
Fixed asset turnover — — — — — 0.42 0.57 0.67 0.80 0.93 0.90 0.75 0.78 0.70 0.60 0.47 0.44 0.47 0.47 0.34

December 31, 2024 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $2,129,538K ÷ $—K
= —

The fixed asset turnover ratio measures how efficiently a company is generating revenue from its fixed assets. A higher fixed asset turnover ratio indicates better utilization of fixed assets to generate sales.

Based on the data provided for Northern Oil & Gas Inc, the fixed asset turnover ratio has shown fluctuations over the years. From March 31, 2020, to June 30, 2022, there is a general increasing trend in the ratio, indicating an improvement in the company's efficiency in generating revenue from its fixed assets.

The ratio increased from 0.34 on March 31, 2020, to 0.90 on June 30, 2022, which suggests that the company was able to generate more revenue for each dollar invested in fixed assets during this period.

However, from September 30, 2022, to December 31, 2023, the ratio started to decline, reaching its lowest point of 0.42 on September 30, 2023. This could indicate a potential decrease in the efficiency of utilizing fixed assets to generate revenue.

As the ratio remained constant at 0.42 for the next three quarters up to December 31, 2023, and the data is not available for the subsequent periods, it is unclear whether this downward trend continued or if there were any improvements in the company's fixed asset turnover ratio in the future.

In conclusion, the performance of Northern Oil & Gas Inc in terms of fixed asset turnover showed fluctuations over the given period, with periods of improvement followed by declining efficiency in generating revenue from fixed assets. Further analysis would be needed to determine the underlying reasons for these fluctuations and the actions that the company may take to improve its fixed asset turnover ratio in the future.