Range Resources Corp (RRC)

Short-term

Turnover ratios

Range Resources Corp's inventory turnover was not reported for 2020 and 2022, but for 2023 it stood at 1.52 times, indicating that the company's inventory was turned over approximately 1.52 times during the year.

In terms of receivables turnover, the company had a ratio of 7.79 in 2020, which decreased to 6.21 in 2021, followed by an increase to 8.62 in 2022 before reaching a peak of 12.29 in 2023, and then dropping back to 8.00 in 2024. This suggests that Range Resources Corp improved its efficiency in collecting receivables during the period under review.

The payables turnover ratio declined from 7.56 in 2020 to 3.20 in 2021, then increased slightly to 3.69 in 2022, further improving to 4.96 in 2023, before dropping to 2.82 in 2024. This indicates that the company's ability to manage its payables fluctuated over the years.

Regarding the working capital turnover, data was not available for 2020 and 2021, but it was 11.76 in 2023. This ratio signifies how effectively the company utilized its working capital to generate revenue during that year.

In summary, Range Resources Corp demonstrated varying trends in its activity ratios over the years, with improvements in receivables turnover and working capital turnover, while the performance in inventory turnover and payables turnover showed fluctuations.

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Average number of days

Range Resources Corp's activity ratios show fluctuations in the efficiency of its operations over the years.

1. Days of Inventory on Hand (DOH): The company had no data available for DOH in the years 2020, 2021, and 2022. However, in 2023, the DOH was 240.09 days, indicating that the company held inventory for an extended period before selling it. As of 2024, DOH data was not available again.

2. Days of Sales Outstanding (DSO): DSO reflects the average number of days it takes the company to collect revenue after a sale. Range Resources Corp's DSO decreased from 46.84 days in 2020 to 29.71 days in 2023, showing improved efficiency in collecting revenue. However, in 2024, the DSO increased to 45.64 days, indicating a potential slowdown in revenue collection.

3. Number of Days of Payables: This ratio represents the average number of days it takes for the company to pay its suppliers. Range Resources Corp's days of payables increased from 48.29 days in 2020 to 129.56 days in 2024, indicating a trend of taking longer to pay its suppliers over the years.

Overall, based on these activity ratios, Range Resources Corp experienced fluctuations in inventory management, sales collection efficiency, and payment practices over the years, which may require further analysis to understand the impact on the company's overall operations and financial performance.

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Long-term

Range Resources Corp's fixed asset turnover ratio has shown a significant upward trend over the years, increasing from 473.13 in 2020 to 1,989.90 in 2023 and then declining to 980.56 in 2024. This indicates that the company is generating more revenue from its fixed assets relative to the investment in those assets. The peak in 2023 suggests efficient utilization of fixed assets to generate sales.

In contrast, the total asset turnover ratio shows a fluctuating pattern, starting at 0.32 in 2020, increasing to 0.63 in 2022, and then declining to 0.33 in 2024. This ratio indicates how efficiently the company is using its total assets to generate revenue. The increase in 2022 suggests improved efficiency in asset utilization, while the decline in 2024 may indicate potential challenges in effectively leveraging assets to generate sales.

These ratios collectively provide insights into Range Resources Corp's ability to generate revenue from both its fixed assets and total assets over the years, highlighting fluctuations in efficiency and productivity that may warrant further investigation and analysis.