Analysis of Long-term (Investment) Activity Ratios
Activity ratios measure how efficiently a company performs day-to-day tasks, such us the collection of receivables and management of inventory.
Long-term Activity Ratios (Summary)
National Oilwell Varco Inc., long-term (investment) activity ratios
Based on: 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31).
| Long-term activity ratio | Description | The company |
|---|---|---|
| Net fixed asset turnover | An activity ratio calculated as total revenue divided by net fixed assets. | National Oilwell Varco Inc. net fixed asset turnover ratio deteriorated from 2013 to 2014 and from 2014 to 2015. |
| Total asset turnover | An activity ratio calculated as total revenue divided by total assets. | National Oilwell Varco Inc. total asset turnover ratio deteriorated from 2013 to 2014 and from 2014 to 2015. |
| Equity turnover | An activity ratio calculated as total revenue divided by shareholders’ equity. | National Oilwell Varco Inc. equity turnover ratio improved from 2013 to 2014 but then deteriorated significantly from 2014 to 2015. |
Net Fixed Asset Turnover
National Oilwell Varco Inc., net fixed asset turnover calculation, comparison to benchmarks
| Dec 31, 2015 | Dec 31, 2014 | Dec 31, 2013 | Dec 31, 2012 | Dec 31, 2011 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Revenue | 14,757) | 21,440) | 22,869) | 20,041) | 14,658) | |
| Property, plant and equipment, net | 3,124) | 3,362) | 3,408) | 2,945) | 2,445) | |
| Long-term Activity Ratio | ||||||
| Net fixed asset turnover1 | 4.72 | 6.38 | 6.71 | 6.81 | 6.00 | |
| Benchmarks | ||||||
| Net Fixed Asset Turnover, Competitors2 | ||||||
| Schlumberger Ltd. | — | — | — | — | — | |
Based on: 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31).
1 2015 Calculation
Net fixed asset turnover = Revenue ÷ Property, plant and equipment, net
= 14,757 ÷ 3,124 = 4.72
2 Click competitor name to see calculations.
| Long-term activity ratio | Description | The company |
|---|---|---|
| Net fixed asset turnover | An activity ratio calculated as total revenue divided by net fixed assets. | National Oilwell Varco Inc. net fixed asset turnover ratio deteriorated from 2013 to 2014 and from 2014 to 2015. |
Total Asset Turnover
National Oilwell Varco Inc., total asset turnover calculation, comparison to benchmarks
| Dec 31, 2015 | Dec 31, 2014 | Dec 31, 2013 | Dec 31, 2012 | Dec 31, 2011 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Revenue | 14,757) | 21,440) | 22,869) | 20,041) | 14,658) | |
| Total assets | 26,725) | 33,562) | 34,812) | 31,484) | 25,515) | |
| Long-term Activity Ratio | ||||||
| Total asset turnover1 | 0.55 | 0.64 | 0.66 | 0.64 | 0.57 | |
| Benchmarks | ||||||
| Total Asset Turnover, Competitors2 | ||||||
| Schlumberger Ltd. | — | — | — | — | — | |
Based on: 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31).
1 2015 Calculation
Total asset turnover = Revenue ÷ Total assets
= 14,757 ÷ 26,725 = 0.55
2 Click competitor name to see calculations.
| Long-term activity ratio | Description | The company |
|---|---|---|
| Total asset turnover | An activity ratio calculated as total revenue divided by total assets. | National Oilwell Varco Inc. total asset turnover ratio deteriorated from 2013 to 2014 and from 2014 to 2015. |
Equity Turnover
National Oilwell Varco Inc., equity turnover calculation, comparison to benchmarks
| Dec 31, 2015 | Dec 31, 2014 | Dec 31, 2013 | Dec 31, 2012 | Dec 31, 2011 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Revenue | 14,757) | 21,440) | 22,869) | 20,041) | 14,658) | |
| Total Company stockholders’ equity | 16,383) | 20,692) | 22,230) | 20,239) | 17,619) | |
| Long-term Activity Ratio | ||||||
| Equity turnover1 | 0.90 | 1.04 | 1.03 | 0.99 | 0.83 | |
| Benchmarks | ||||||
| Equity Turnover, Competitors2 | ||||||
| Schlumberger Ltd. | — | — | — | — | — | |
Based on: 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31).
1 2015 Calculation
Equity turnover = Revenue ÷ Total Company stockholders’ equity
= 14,757 ÷ 16,383 = 0.90
2 Click competitor name to see calculations.
| Long-term activity ratio | Description | The company |
|---|---|---|
| Equity turnover | An activity ratio calculated as total revenue divided by shareholders’ equity. | National Oilwell Varco Inc. equity turnover ratio improved from 2013 to 2014 but then deteriorated significantly from 2014 to 2015. |