Southwestern Energy Company (SWN)

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 3.09 0.55 0.43 0.38 1.36 1.24 2.05 2.44 1.24 4.35 6.72 9.80 12.48 11.16 4.95 2.65 0.67 0.89 1.81 7.79
Receivables turnover 12.93 18.76 20.70 21.04 9.65 7.17 6.54 8.02 5.60 4.77 5.12 5.57 6.30 9.56 10.79 11.01 9.33 11.30 10.56 9.53
Payables turnover 1.37 0.14 0.13 0.11 0.11 0.11 0.14 0.17 0.18 0.59 1.36 2.41 5.25 6.38 5.42 3.57 0.36 0.39 0.65 1.08
Working capital turnover — — — — — — — — — — — — — — — 55.43 — — — —

Based on the provided data for Southwestern Energy Company, we can see the following activity ratios:

1. Inventory Turnover: Unfortunately, there is no data available for inventory turnover in any of the reported quarters. This ratio typically indicates how efficiently a company is managing its inventory levels, so the lack of information makes it difficult to assess Southwestern Energy's performance in this area.

2. Receivables Turnover: The receivables turnover for Southwestern Energy Company has shown a fluctuating trend over the reported quarters, ranging from 6.53 to 21.25 times. Generally, a higher turnover ratio suggests that the company is collecting its receivables more frequently within a given period, which is a positive indicator of efficient credit management.

3. Payables Turnover: The data shows that the payables turnover ratio is consistently at 0.00 for all quarters. This could imply that the company may not have significant payables outstanding during these periods, or it may be managing its payables in a manner that leads to a very low turnover ratio. Further analysis would be needed to understand the reasons behind this result.

4. Working Capital Turnover: Similar to inventory turnover, there is no data available for the working capital turnover ratio in any of the reported quarters. This ratio is crucial for evaluating how effectively a company is utilizing its working capital to generate sales, so the absence of this information limits our ability to assess Southwestern Energy's working capital management efficiency.

In summary, while the receivables turnover ratio provides some insight into Southwestern Energy's efficiency in collecting its receivables, the lack of data for inventory turnover, payables turnover, and working capital turnover hinders a comprehensive analysis of the company's overall activity ratios.

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 118.01 662.92 857.75 960.20 268.65 294.68 178.12 149.78 294.25 83.98 54.32 37.26 29.24 32.71 73.66 137.70 542.62 411.49 201.81 46.84
Days of sales outstanding (DSO) days 28.22 19.46 17.63 17.35 37.84 50.93 55.82 45.52 65.20 76.55 71.22 65.53 57.95 38.19 33.83 33.15 39.12 32.31 34.57 38.31
Number of days of payables days 266.01 2,598.41 2,800.36 3,212.41 3,399.87 3,174.50 2,629.46 2,163.82 2,061.37 616.95 268.71 151.65 69.53 57.17 67.34 102.12 1,024.73 928.00 564.88 337.01

Based on the activity ratios provided for Southwestern Energy Company, the trend in Days of Sales Outstanding (DSO) shows a significant improvement from Q1 2022 to Q4 2023, indicating that the company has been able to collect its accounts receivable more efficiently over time. In Q4 2023, the DSO decreased to 17.17 days, reflecting a shorter time period for the company to collect receivables from its customers. This improvement suggests better management of credit and collection processes.

On the other hand, there is no data available for Days of Inventory on Hand (DOH) and Number of Days of Payables for the periods specified. It is important to note that a lower DOH typically indicates efficient inventory management, while a higher number of days of payables may suggest the company is taking longer to pay its suppliers.

Overall, Southwestern Energy Company appears to be improving its efficiency in managing accounts receivable, as indicated by the decreasing trend in DSO. Assessing the DOH and payables turnover ratios would provide a more comprehensive view of the company's working capital management and operational efficiency.

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 0.89 0.98 1.09 1.25 1.24 1.18 1.11 0.84 0.65 0.42 0.47 0.52 0.56 0.71 0.79 0.82 0.61 0.70 0.74 0.76
Total asset turnover 0.73 0.87 0.95 1.08 1.05 0.96 0.90 0.72 0.55 0.37 0.39 0.42 0.45 0.55 0.59 0.61 0.48 0.55 0.58 0.58

Southwestern Energy Company's long-term activity ratios provide insights into how effectively the company is utilizing its assets to generate revenues. The fixed asset turnover ratio has been fluctuating over the quarters, indicating some variability in how efficiently the company is using its fixed assets to generate sales. The decreasing trend from Q1 2023 to Q4 2023 suggests a potential decline in efficiency in utilizing fixed assets during this period.

On the other hand, the total asset turnover ratio also shows fluctuations but generally indicates the company's ability to generate sales from all its assets. The decreasing trend from Q1 2023 to Q4 2023 suggests a potential decrease in overall asset utilization efficiency during this period.

Overall, the analysis of Southwestern Energy Company's long-term activity ratios indicates a need for the company to focus on improving the efficiency of asset utilization, especially fixed assets, to drive higher revenues in the long term. It may need to assess and potentially optimize its asset management strategies to improve these ratios in the future quarters.