Schlumberger NV (SLB)

Activity ratios

Short-term

Turnover ratios

	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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Inventory turnover	0.16	0.16	0.16	0.16	0.17	0.17	0.17	0.18	0.20	-0.75	-0.75	-0.74	0.23	1.07	1.08	0.97	0.23	0.36	0.35	0.37
Receivables turnover	4.18	2.97	3.01	2.87	2.97	3.91	3.90	4.07	4.21	4.07	3.96	3.97	4.41	4.63	4.99	4.26	4.17	3.90	3.83	3.98
Payables turnover	0.16	—	—	—	0.17	—	—	—	0.20	—	—	—	0.26	—	—	—	0.19	—	—	—
Working capital turnover	7.55	5.30	5.79	6.91	6.73	5.81	6.53	9.09	9.76	8.22	6.44	7.13	9.53	10.04	10.68	10.62	13.28	8.85	7.12	7.97

The activity ratios of Schlumberger Ltd. provide insights into the efficiency of its utilization of resources and management of its working capital.

The Inventory Turnover ratio, which measures how efficiently the company manages its inventory, has remained relatively stable over the past eight quarters, with a range of 5.65 to 6.06. This suggests that the company is effectively managing its inventory, converting it into sales at a consistent rate.

The Receivables Turnover ratio, indicating how quickly the company collects on its credit sales, has also been relatively steady, fluctuating between 3.94 and 4.24. This suggests that Schlumberger is efficiently collecting payment from its customers.

The Payables Turnover ratio, which provides insights into how quickly the company pays its suppliers, was available for only two quarters, showing a range of 5.76 to 5.85. This suggests that Schlumberger is efficiently managing its payables, although a longer trend would provide a more comprehensive view.

The Working Capital Turnover ratio, which measures how efficiently the company utilizes its working capital to generate sales, has exhibited more variability, ranging from 5.91 to 9.49. The higher values suggest that Schlumberger has been more effective in using its working capital to generate sales in some quarters than in others.

Overall, these activity ratios indicate that Schlumberger Ltd. has been effectively managing its inventory, accounts receivable, and working capital to generate sales, demonstrating reasonable efficiency in these areas of its operations.

Average number of days

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Days of inventory on hand (DOH)	days	2,214.74	2,334.81	2,326.61	2,327.96	2,156.03	2,201.16	2,155.24	2,069.26	1,863.15	—	—	—	1,598.19	341.21	336.93	376.81	1,620.91	1,027.54	1,041.60	995.97
Days of sales outstanding (DSO)	days	87.37	122.85	121.33	127.08	123.01	93.27	93.50	89.74	86.64	89.58	92.07	91.97	82.75	78.75	73.12	85.67	87.52	93.64	95.27	91.76
Number of days of payables	days	2,328.83	—	—	—	2,113.98	—	—	—	1,825.00	—	—	—	1,399.48	—	—	—	1,879.95	—	—	—

The activity ratios of Schlumberger Ltd. provide insights into the company's efficiency in managing its inventory, receivables, and payables.

Days of inventory on hand (DOH) measures the average number of days it takes for the company to sell its inventory. The trend for DOH shows a slight improvement from 69.49 days in September 2022 to 60.26 days in December 2023. This indicates that Schlumberger has been able to reduce the amount of time it takes to sell its inventory, which is a positive sign of efficient inventory management.

Days of sales outstanding (DSO) represents the average number of days it takes for the company to collect payment after a sale is made. The trend for DSO shows a slight worsening from 88.10 days in March 2022 to 86.05 days in December 2023. This suggests that Schlumberger is taking a longer time to collect payment from its customers, which may impact its cash flow and liquidity.

The number of days of payables indicates the average number of days the company takes to pay its suppliers. However, there is incomplete data for this ratio, as the values for September 2023, June 2023, and March 2023 are not available.

Overall, while Schlumberger has shown improvement in managing its inventory, there are some concerns regarding the collection of receivables as reflected in the DSO ratio, and the data gap for payables makes it challenging to provide a comprehensive analysis of this aspect. It is important for the company to focus on maintaining efficient working capital management to optimize its cash flow and overall financial performance.

Long-term

	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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Fixed asset turnover	4.51	3.48	3.39	3.25	3.04	3.89	3.82	3.66	3.39	3.42	3.27	3.16	3.39	3.48	3.75	3.73	3.49	3.38	2.86	2.82
Total asset turnover	0.68	0.52	0.52	0.50	0.47	0.59	0.57	0.55	0.54	0.53	0.52	0.50	0.55	0.58	0.65	0.66	0.57	0.56	0.46	0.46

The fixed asset turnover ratio for Schlumberger Ltd. has been relatively stable, ranging from 3.72 in March 2022 to 4.66 in September 2023. The consistent high values indicate that the company is utilizing its fixed assets efficiently to generate sales.

The total asset turnover ratio has also seen an upward trend, increasing from 0.56 in March 2022 to 0.70 in September 2023. This suggests that Schlumberger is effectively generating sales in relation to its total assets.

Overall, both the fixed asset turnover and total asset turnover ratios indicate that Schlumberger Ltd. has been successful in utilizing its assets to generate sales over the analyzed period. It appears that the company has been efficient in managing its assets to drive revenue growth.