Northern Oil & Gas Inc (NOG)
Activity ratios
Short-term
Turnover ratios
| 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | — | — | — | — | — | — | 7.77 | 6.50 | 15.14 | — | — | — | 43.97 | 66.22 | 318.61 | 113.38 | 5.95 | 2.94 | 2.51 | 1.69 |
| Receivables turnover | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Payables turnover | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Working capital turnover | — | 19.52 | — | — | 11.90 | — | 260.93 | 38.66 | — | — | — | — | — | — | — | — | — | 28.98 | 18.15 | 5.00 |
Northern Oil & Gas Inc's inventory turnover ratio has shown significant fluctuations over the years. The ratio increased sharply from 1.69 in March 2020 to 318.61 in June 2021, indicating a more efficient management of inventory during this period. However, in the subsequent periods, the ratio decreased notably to 15.14 by December 2022, suggesting potential inventory management challenges.
The company's receivables turnover ratio data is unavailable for all the periods provided. This lack of information limits our ability to assess the efficiency of the company in collecting its outstanding receivables.
Similarly, the payables turnover ratio data is not disclosed for any of the periods, making it difficult to evaluate how effectively the company manages its trade payables.
In terms of working capital turnover, the company experienced fluctuations in efficiency in utilizing its working capital. For instance, the ratio increased from 5.00 in March 2020 to 260.93 in June 2023, reflecting a substantial improvement in utilizing working capital for generating sales. However, the lack of data for several reporting periods makes it challenging to track the consistency of this efficiency.
Overall, a more consistent and complete disclosure of activity ratios would provide a better understanding of Northern Oil & Gas Inc's operational efficiency and effectiveness in managing its working capital, inventory, receivables, and payables.
Average number of days
| 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | — | — | — | — | — | — | 46.95 | 56.15 | 24.11 | — | — | — | 8.30 | 5.51 | 1.15 | 3.22 | 61.30 | 124.19 | 145.41 | 216.16 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
Based on the provided data for Northern Oil & Gas Inc, let's analyze the activity ratios:
1. Days of Inventory on Hand (DOH)
- The DOH measures how many days, on average, inventory is held before being sold. A lower number indicates faster inventory turnover.
- Northern Oil & Gas Inc's DOH has shown a declining trend from 216.16 days on March 31, 2020, to 8.30 days on December 31, 2021.
- The significant decrease in DOH suggests improved efficiency in managing inventory levels and potentially better liquidity.
2. Days of Sales Outstanding (DSO)
- DSO reflects the average number of days it takes for a company to collect revenue after a sale has been made. Lower DSO values are generally favorable.
- The data provided shows all values as "Not Available" which can imply that there might not be sufficient information available to calculate or measure this ratio for the company.
3. Number of Days of Payables
- This ratio indicates the average number of days a company takes to pay its suppliers. A higher number may indicate favorable credit terms with suppliers.
- However, the data for the payables days is also not available, suggesting a lack of information on the company's payment practices to suppliers.
In conclusion, based on the available data, Northern Oil & Gas Inc has shown improvements in managing its inventory levels efficiently, leading to a significant reduction in days of inventory on hand. However, further information on days of sales outstanding and number of days of payables would provide a more comprehensive analysis of the company's activity ratios and overall working capital management.
Long-term
| 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 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 |
| Total asset turnover | 0.38 | 0.38 | 0.36 | 0.34 | 0.33 | 0.37 | 0.50 | 0.59 | 0.69 | 0.76 | 0.73 | 0.63 | 0.64 | 0.60 | 0.51 | 0.40 | 0.37 | 0.38 | 0.37 | 0.27 |
The Fixed Asset Turnover ratio for Northern Oil & Gas Inc has shown some fluctuations over the years, starting at 0.34 in March 2020 and reaching a peak of 0.93 in September 2022. However, it decreased to 0.42 by September 2023, indicating a decrease in the efficiency of the company in generating revenue from its fixed assets. The ratio then remained stagnant at 0.42 from September 2023 to December 2024.
On the other hand, the Total Asset Turnover ratio reflects a similar trend, starting at 0.27 in March 2020 and gradually increasing to 0.76 by September 2022, signifying an improvement in the company's ability to generate revenue from all its assets. However, the ratio declined to 0.38 by December 2024, showing a reduced efficiency in utilizing assets to generate sales.
Overall, the trend in both ratios suggests that Northern Oil & Gas Inc experienced periods of both improvement and decline in utilizing its fixed and total assets efficiently for revenue generation over the analyzed period.