Occidental Petroleum Corporation (OXY)
Payables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 4,940,000 | 4,684,000 | 4,185,000 | 3,870,000 | 6,840,000 |
| Payables | US$ in thousands | 3,646,000 | 4,029,000 | 3,899,000 | 2,987,000 | 4,910,000 |
| Payables turnover | 1.35 | 1.16 | 1.07 | 1.30 | 1.39 |
December 31, 2023 calculation
Payables turnover = Cost of revenue ÷ Payables
= $4,940,000K ÷ $3,646,000K
= 1.35
Occidental Petroleum Corp.'s payables turnover ratio measures how efficiently the company is managing its accounts payable. The trend in payables turnover over the past five years indicates fluctuations in the company's ability to pay off its suppliers.
In 2019, the payables turnover stood at 0.40, which means Occidental Petroleum took longer to pay its suppliers that year. This was followed by an improvement in 2020 to 0.81, indicating the company managed its payables more efficiently. However, in 2021, there was a slight decrease to 0.71, suggesting a potential delay in payments to suppliers.
Subsequently, the payables turnover ratio increased to 0.81 in 2022, indicating a return to a similar level as in 2020. Finally, at the end of 2023, the payables turnover ratio was 0.85, suggesting a slight improvement in how quickly Occidental Petroleum is settling its accounts payable.
Overall, the trend in payables turnover for Occidental Petroleum Corp. reflects some variability in its management of accounts payable efficiency over the past five years, potentially indicating fluctuations in the company's working capital management and relationships with suppliers.
Peer comparison
Dec 31, 2023