Stock Analysis on Net

ConocoPhillips (NYSE:COP)

Analysis of Short-term (Operating) Activity Ratios

Microsoft Excel LibreOffice Calc

Short-term Activity Ratios (Summary)

ConocoPhillips, short-term (operating) activity ratios

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016
Turnover Ratios
Inventory turnover 12.40 16.73 19.37 16.65 15.38
Receivables turnover 7.13 9.97 9.29 6.96 7.29
Payables turnover 4.65 5.40 5.05 4.40 4.31
Working capital turnover 2.80 3.30 6.19 4.09 13.94
Average No. Days
Average inventory processing period 29 22 19 22 24
Add: Average receivable collection period 51 37 39 52 50
Operating cycle 80 59 58 74 74
Less: Average payables payment period 78 68 72 83 85
Cash conversion cycle 2 -9 -14 -9 -11

Based on: 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31).

Short-term activity ratio Description The company
Inventory turnover An activity ratio calculated as cost of goods sold divided by inventory. ConocoPhillips inventory turnover ratio deteriorated from 2018 to 2019 and from 2019 to 2020.
Receivables turnover An activity ratio equal to revenue divided by receivables. ConocoPhillips receivables turnover ratio improved from 2018 to 2019 but then deteriorated significantly from 2019 to 2020.
Payables turnover An activity ratio calculated as cost of goods sold divided by payables. ConocoPhillips payables turnover ratio increased from 2018 to 2019 but then decreased significantly from 2019 to 2020.
Working capital turnover An activity ratio calculated as revenue divided by working capital. ConocoPhillips working capital turnover ratio deteriorated from 2018 to 2019 and from 2019 to 2020.

Short-term activity ratio Description The company
Average inventory processing period An activity ratio equal to the number of days in the period divided by inventory turnover over the period. ConocoPhillips number of days of inventory outstanding deteriorated from 2018 to 2019 and from 2019 to 2020.
Average receivable collection period An activity ratio equal to the number of days in the period divided by receivables turnover. ConocoPhillips number of days of receivables outstanding improved from 2018 to 2019 but then deteriorated significantly from 2019 to 2020.
Operating cycle Equal to average inventory processing period plus average receivables collection period. ConocoPhillips operating cycle deteriorated from 2018 to 2019 and from 2019 to 2020.
Average payables payment period An estimate of the average number of days it takes a company to pay its suppliers; equal to the number of days in the period divided by payables turnover ratio for the period. ConocoPhillips number of days of payables outstanding decreased from 2018 to 2019 but then increased from 2019 to 2020 exceeding 2018 level.
Cash conversion cycle A financial metric that measures the length of time required for a company to convert cash invested in its operations to cash received as a result of its operations; equal to average inventory processing period plus average receivables collection period minus average payables payment period. ConocoPhillips cash conversion cycle deteriorated from 2018 to 2019 and from 2019 to 2020.

Inventory Turnover

ConocoPhillips, inventory turnover calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016
Selected Financial Data (US$ in millions)
Cost of operating revenues 12,422  17,164  19,507  17,648  15,661 
Inventories 1,002  1,026  1,007  1,060  1,018 
Short-term Activity Ratio
Inventory turnover1 12.40 16.73 19.37 16.65 15.38
Benchmarks
Inventory Turnover, Competitors2
Chevron Corp. 12.48 17.36 20.18 17.05 14.69
Exxon Mobil Corp. 6.60 9.75 10.17 9.55 9.03
Inventory Turnover, Sector
Oil, Gas & Consumable Fuels 8.14 11.78 12.76 11.64

Based on: 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31).

1 2020 Calculation
Inventory turnover = Cost of operating revenues ÷ Inventories
= 12,422 ÷ 1,002 = 12.40

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Inventory turnover An activity ratio calculated as cost of goods sold divided by inventory. ConocoPhillips inventory turnover ratio deteriorated from 2018 to 2019 and from 2019 to 2020.

Receivables Turnover

ConocoPhillips, receivables turnover calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016
Selected Financial Data (US$ in millions)
Sales and other operating revenues 18,784  32,567  36,417  29,106  23,693 
Accounts and notes receivable, net of allowance 2,634  3,267  3,920  4,179  3,249 
Short-term Activity Ratio
Receivables turnover1 7.13 9.97 9.29 6.96 7.29
Benchmarks
Receivables Turnover, Competitors2
Chevron Corp. 8.24 10.50 10.56 8.77 7.82
Exxon Mobil Corp. 10.93 12.11 14.22 11.15 13.63
Receivables Turnover, Sector
Oil, Gas & Consumable Fuels 9.59 11.36 12.29 9.83

Based on: 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31).

1 2020 Calculation
Receivables turnover = Sales and other operating revenues ÷ Accounts and notes receivable, net of allowance
= 18,784 ÷ 2,634 = 7.13

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Receivables turnover An activity ratio equal to revenue divided by receivables. ConocoPhillips receivables turnover ratio improved from 2018 to 2019 but then deteriorated significantly from 2019 to 2020.

Payables Turnover

ConocoPhillips, payables turnover calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016
Selected Financial Data (US$ in millions)
Cost of operating revenues 12,422  17,164  19,507  17,648  15,661 
Accounts payable 2,669  3,176  3,863  4,009  3,631 
Short-term Activity Ratio
Payables turnover1 4.65 5.40 5.05 4.40 4.31
Benchmarks
Payables Turnover, Competitors2
Chevron Corp. 6.47 7.20 8.25 6.54 5.69
Exxon Mobil Corp. 7.11 7.31 9.16 7.48 7.65
Payables Turnover, Sector
Oil, Gas & Consumable Fuels 6.67 7.13 8.42 6.83

Based on: 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31).

1 2020 Calculation
Payables turnover = Cost of operating revenues ÷ Accounts payable
= 12,422 ÷ 2,669 = 4.65

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Payables turnover An activity ratio calculated as cost of goods sold divided by payables. ConocoPhillips payables turnover ratio increased from 2018 to 2019 but then decreased significantly from 2019 to 2020.

Working Capital Turnover

ConocoPhillips, working capital turnover calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016
Selected Financial Data (US$ in millions)
Current assets 12,066  16,913  13,274  16,512  8,609 
Less: Current liabilities 5,366  7,043  7,395  9,397  6,909 
Working capital 6,700  9,870  5,879  7,115  1,700 
 
Sales and other operating revenues 18,784  32,567  36,417  29,106  23,693 
Short-term Activity Ratio
Working capital turnover1 2.80 3.30 6.19 4.09 13.94
Benchmarks
Working Capital Turnover, Competitors2
Chevron Corp. 24.25 77.75 23.20 163.64
Exxon Mobil Corp.
Working Capital Turnover, Sector
Oil, Gas & Consumable Fuels 133.18

Based on: 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31).

1 2020 Calculation
Working capital turnover = Sales and other operating revenues ÷ Working capital
= 18,784 ÷ 6,700 = 2.80

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Working capital turnover An activity ratio calculated as revenue divided by working capital. ConocoPhillips working capital turnover ratio deteriorated from 2018 to 2019 and from 2019 to 2020.

Average Inventory Processing Period

ConocoPhillips, average inventory processing period calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016
Selected Financial Data
Inventory turnover 12.40 16.73 19.37 16.65 15.38
Short-term Activity Ratio (no. days)
Average inventory processing period1 29 22 19 22 24
Benchmarks (no. days)
Average Inventory Processing Period, Competitors2
Chevron Corp. 29 21 18 21 25
Exxon Mobil Corp. 55 37 36 38 40
Average Inventory Processing Period, Sector
Oil, Gas & Consumable Fuels 45 31 29 31

Based on: 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31).

1 2020 Calculation
Average inventory processing period = 365 ÷ Inventory turnover
= 365 ÷ 12.40 = 29

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Average inventory processing period An activity ratio equal to the number of days in the period divided by inventory turnover over the period. ConocoPhillips number of days of inventory outstanding deteriorated from 2018 to 2019 and from 2019 to 2020.

Average Receivable Collection Period

ConocoPhillips, average receivable collection period calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016
Selected Financial Data
Receivables turnover 7.13 9.97 9.29 6.96 7.29
Short-term Activity Ratio (no. days)
Average receivable collection period1 51 37 39 52 50
Benchmarks (no. days)
Average Receivable Collection Period, Competitors2
Chevron Corp. 44 35 35 42 47
Exxon Mobil Corp. 33 30 26 33 27
Average Receivable Collection Period, Sector
Oil, Gas & Consumable Fuels 38 32 30 37

Based on: 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31).

1 2020 Calculation
Average receivable collection period = 365 ÷ Receivables turnover
= 365 ÷ 7.13 = 51

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Average receivable collection period An activity ratio equal to the number of days in the period divided by receivables turnover. ConocoPhillips number of days of receivables outstanding improved from 2018 to 2019 but then deteriorated significantly from 2019 to 2020.

Operating Cycle

ConocoPhillips, operating cycle calculation, comparison to benchmarks

No. days

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016
Selected Financial Data
Average inventory processing period 29 22 19 22 24
Average receivable collection period 51 37 39 52 50
Short-term Activity Ratio
Operating cycle1 80 59 58 74 74
Benchmarks
Operating Cycle, Competitors2
Chevron Corp. 73 56 53 63 72
Exxon Mobil Corp. 88 67 62 71 67
Operating Cycle, Sector
Oil, Gas & Consumable Fuels 83 63 59 68

Based on: 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31).

1 2020 Calculation
Operating cycle = Average inventory processing period + Average receivable collection period
= 29 + 51 = 80

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Operating cycle Equal to average inventory processing period plus average receivables collection period. ConocoPhillips operating cycle deteriorated from 2018 to 2019 and from 2019 to 2020.

Average Payables Payment Period

ConocoPhillips, average payables payment period calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016
Selected Financial Data
Payables turnover 4.65 5.40 5.05 4.40 4.31
Short-term Activity Ratio (no. days)
Average payables payment period1 78 68 72 83 85
Benchmarks (no. days)
Average Payables Payment Period, Competitors2
Chevron Corp. 56 51 44 56 64
Exxon Mobil Corp. 51 50 40 49 48
Average Payables Payment Period, Sector
Oil, Gas & Consumable Fuels 55 51 43 53

Based on: 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31).

1 2020 Calculation
Average payables payment period = 365 ÷ Payables turnover
= 365 ÷ 4.65 = 78

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Average payables payment period An estimate of the average number of days it takes a company to pay its suppliers; equal to the number of days in the period divided by payables turnover ratio for the period. ConocoPhillips number of days of payables outstanding decreased from 2018 to 2019 but then increased from 2019 to 2020 exceeding 2018 level.

Cash Conversion Cycle

ConocoPhillips, cash conversion cycle calculation, comparison to benchmarks

No. days

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016
Selected Financial Data
Average inventory processing period 29 22 19 22 24
Average receivable collection period 51 37 39 52 50
Average payables payment period 78 68 72 83 85
Short-term Activity Ratio
Cash conversion cycle1 2 -9 -14 -9 -11
Benchmarks
Cash Conversion Cycle, Competitors2
Chevron Corp. 17 5 9 7 8
Exxon Mobil Corp. 37 17 22 22 19
Cash Conversion Cycle, Sector
Oil, Gas & Consumable Fuels 28 12 16 15

Based on: 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31).

1 2020 Calculation
Cash conversion cycle = Average inventory processing period + Average receivable collection period – Average payables payment period
= 29 + 5178 = 2

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Cash conversion cycle A financial metric that measures the length of time required for a company to convert cash invested in its operations to cash received as a result of its operations; equal to average inventory processing period plus average receivables collection period minus average payables payment period. ConocoPhillips cash conversion cycle deteriorated from 2018 to 2019 and from 2019 to 2020.