EOG Resources Inc. (EOG)


Short-term (Operating) Activity Analysis
Quarterly Data

Difficulty: Beginner


Ratios (Summary)

EOG Resources Inc., short-term (operating) activity ratios (quarterly data)

Microsoft Excel LibreOffice Calc
Dec 31, 2018 Sep 30, 2018 Jun 30, 2018 Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016 Dec 31, 2015 Sep 30, 2015 Jun 30, 2015 Mar 31, 2015 Dec 31, 2014 Sep 30, 2014 Jun 30, 2014 Mar 31, 2014
Turnover Ratios
Inventory turnover 2.87 3.04 3.23 3.49 4.00 5.48 5.58 5.82 5.18 4.29 3.84 3.73 3.64 3.55 3.75 3.35 3.59
Receivables turnover 9.02 7.46 7.29 7.21 7.02 8.26 8.74 7.50 6.29 7.66 7.59 9.98 9.41 10.33 11.15 12.85 10.14
Payables turnover 1.10 0.96 0.93 1.06 1.05 1.15 1.16 1.17 1.20 1.42 1.46 1.70 1.48 1.50 1.33 1.17 0.89
Working capital turnover 13.00 40.93 16.41 20.25 17.59 14.74 6.54 5.01 7.01 9.62 9.53 11.33 14.92 9.97 9.58 8.88
Average No. of Days
Average inventory processing period 127 120 113 105 91 67 65 63 70 85 95 98 100 103 97 109 102
Add: Average receivable collection period 40 49 50 51 52 44 42 49 58 48 48 37 39 35 33 28 36
Operating cycle 167 169 163 156 143 111 107 112 128 133 143 135 139 138 130 137 138
Less: Average payables payment period 331 382 394 343 349 317 314 311 304 257 250 214 247 243 275 311 412
Cash conversion cycle -164 -213 -231 -187 -206 -206 -207 -199 -176 -124 -107 -79 -108 -105 -145 -174 -274

Based on: 10-K (filing date: 2019-02-26), 10-Q (filing date: 2018-11-01), 10-Q (filing date: 2018-08-02), 10-Q (filing date: 2018-05-03), 10-K (filing date: 2018-02-27), 10-Q (filing date: 2017-11-02), 10-Q (filing date: 2017-08-01), 10-Q (filing date: 2017-05-08), 10-K (filing date: 2017-02-27), 10-Q (filing date: 2016-11-03), 10-Q (filing date: 2016-08-04), 10-Q (filing date: 2016-05-05), 10-K (filing date: 2016-02-25), 10-Q (filing date: 2015-11-05), 10-Q (filing date: 2015-08-06), 10-Q (filing date: 2015-05-04), 10-K (filing date: 2015-02-18), 10-Q (filing date: 2014-11-04), 10-Q (filing date: 2014-08-05), 10-Q (filing date: 2014-05-06).

Ratio Description The company
Inventory turnover An activity ratio calculated as cost of goods sold divided by inventory. EOG Resources Inc.’s inventory turnover deteriorated from Q2 2018 to Q3 2018 and from Q3 2018 to Q4 2018.
Receivables turnover An activity ratio equal to revenue divided by receivables. EOG Resources Inc.’s receivables turnover improved from Q2 2018 to Q3 2018 and from Q3 2018 to Q4 2018.
Payables turnover An activity ratio calculated as cost of goods sold divided by payables. EOG Resources Inc.’s payables turnover increased from Q2 2018 to Q3 2018 and from Q3 2018 to Q4 2018.
Working capital turnover An activity ratio calculated as revenue divided by working capital. EOG Resources Inc.’s working capital turnover improved from Q2 2018 to Q3 2018 but then slightly deteriorated from Q3 2018 to Q4 2018 not reaching Q2 2018 level.

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. EOG Resources Inc.’s average inventory processing period deteriorated from Q2 2018 to Q3 2018 and from Q3 2018 to Q4 2018.
Average receivable collection period An activity ratio equal to the number of days in the period divided by receivables turnover. EOG Resources Inc.’s average receivable collection period improved from Q2 2018 to Q3 2018 and from Q3 2018 to Q4 2018.
Operating cycle Equal to average inventory processing period plus average receivables collection period. EOG Resources Inc.’s operating cycle deteriorated from Q2 2018 to Q3 2018 but then slightly improved from Q3 2018 to Q4 2018.
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. EOG Resources Inc.’s average payables payment period declined from Q2 2018 to Q3 2018 and from Q3 2018 to Q4 2018.
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. EOG Resources Inc.’s cash conversion cycle deteriorated from Q2 2018 to Q3 2018 and from Q3 2018 to Q4 2018.

Inventory Turnover

EOG Resources Inc., inventory turnover calculation (quarterly data)

Microsoft Excel LibreOffice Calc
Dec 31, 2018 Sep 30, 2018 Jun 30, 2018 Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016 Dec 31, 2015 Sep 30, 2015 Jun 30, 2015 Mar 31, 2015 Dec 31, 2014 Sep 30, 2014 Jun 30, 2014 Mar 31, 2014
Selected Financial Data (USD $ in thousands)
Cost of operating revenues 654,933  631,658  601,570  578,366  516,953  468,098  476,288  472,635  467,681  459,845  427,090  459,843  495,149  522,312  534,494  625,802  660,859  656,028  619,507  597,995 
Inventories 859,359  766,964  670,994  584,729  483,865  344,016  336,198  314,194  350,017  429,667  495,826  538,926  598,935  660,252  661,162  764,206  706,597  672,899  667,108  635,419 
Ratio
Inventory turnover1 2.87 3.04 3.23 3.49 4.00 5.48 5.58 5.82 5.18 4.29 3.84 3.73 3.64 3.55 3.75 3.35 3.59

Based on: 10-K (filing date: 2019-02-26), 10-Q (filing date: 2018-11-01), 10-Q (filing date: 2018-08-02), 10-Q (filing date: 2018-05-03), 10-K (filing date: 2018-02-27), 10-Q (filing date: 2017-11-02), 10-Q (filing date: 2017-08-01), 10-Q (filing date: 2017-05-08), 10-K (filing date: 2017-02-27), 10-Q (filing date: 2016-11-03), 10-Q (filing date: 2016-08-04), 10-Q (filing date: 2016-05-05), 10-K (filing date: 2016-02-25), 10-Q (filing date: 2015-11-05), 10-Q (filing date: 2015-08-06), 10-Q (filing date: 2015-05-04), 10-K (filing date: 2015-02-18), 10-Q (filing date: 2014-11-04), 10-Q (filing date: 2014-08-05), 10-Q (filing date: 2014-05-06).

Q4 2018 Calculations

1 Inventory turnover = (Cost of operating revenuesQ4 2018 + Cost of operating revenuesQ3 2018 + Cost of operating revenuesQ2 2018 + Cost of operating revenuesQ1 2018) ÷ Inventories
= (654,933 + 631,658 + 601,570 + 578,366) ÷ 859,359 = 2.87

Ratio Description The company
Inventory turnover An activity ratio calculated as cost of goods sold divided by inventory. EOG Resources Inc.’s inventory turnover deteriorated from Q2 2018 to Q3 2018 and from Q3 2018 to Q4 2018.

Receivables Turnover

EOG Resources Inc., receivables turnover calculation (quarterly data)

Microsoft Excel LibreOffice Calc
Dec 31, 2018 Sep 30, 2018 Jun 30, 2018 Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016 Dec 31, 2015 Sep 30, 2015 Jun 30, 2015 Mar 31, 2015 Dec 31, 2014 Sep 30, 2014 Jun 30, 2014 Mar 31, 2014
Selected Financial Data (USD $ in thousands)
Operating revenues and other 4,574,536  4,781,624  4,238,077  3,681,162  3,340,439  2,644,844  2,612,472  2,610,565  2,402,039  2,118,504  1,775,740  1,354,349  1,796,761  2,172,428  2,469,701  2,318,538  4,645,497  5,118,616  4,187,556  4,083,671 
Accounts receivable, net 1,915,215  2,151,247  1,907,990  1,702,100  1,597,494  1,243,535  1,114,454  1,187,112  1,216,320  920,189  935,592  780,625  930,610  1,123,111  1,304,848  1,266,582  1,779,311  2,009,091  1,902,248  1,801,665 
Ratio
Receivables turnover1 9.02 7.46 7.29 7.21 7.02 8.26 8.74 7.50 6.29 7.66 7.59 9.98 9.41 10.33 11.15 12.85 10.14

Based on: 10-K (filing date: 2019-02-26), 10-Q (filing date: 2018-11-01), 10-Q (filing date: 2018-08-02), 10-Q (filing date: 2018-05-03), 10-K (filing date: 2018-02-27), 10-Q (filing date: 2017-11-02), 10-Q (filing date: 2017-08-01), 10-Q (filing date: 2017-05-08), 10-K (filing date: 2017-02-27), 10-Q (filing date: 2016-11-03), 10-Q (filing date: 2016-08-04), 10-Q (filing date: 2016-05-05), 10-K (filing date: 2016-02-25), 10-Q (filing date: 2015-11-05), 10-Q (filing date: 2015-08-06), 10-Q (filing date: 2015-05-04), 10-K (filing date: 2015-02-18), 10-Q (filing date: 2014-11-04), 10-Q (filing date: 2014-08-05), 10-Q (filing date: 2014-05-06).

Q4 2018 Calculations

1 Receivables turnover = (Operating revenues and otherQ4 2018 + Operating revenues and otherQ3 2018 + Operating revenues and otherQ2 2018 + Operating revenues and otherQ1 2018) ÷ Accounts receivable, net
= (4,574,536 + 4,781,624 + 4,238,077 + 3,681,162) ÷ 1,915,215 = 9.02

Ratio Description The company
Receivables turnover An activity ratio equal to revenue divided by receivables. EOG Resources Inc.’s receivables turnover improved from Q2 2018 to Q3 2018 and from Q3 2018 to Q4 2018.

Payables Turnover

EOG Resources Inc., payables turnover calculation (quarterly data)

Microsoft Excel LibreOffice Calc
Dec 31, 2018 Sep 30, 2018 Jun 30, 2018 Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016 Dec 31, 2015 Sep 30, 2015 Jun 30, 2015 Mar 31, 2015 Dec 31, 2014 Sep 30, 2014 Jun 30, 2014 Mar 31, 2014
Selected Financial Data (USD $ in thousands)
Cost of operating revenues 654,933  631,658  601,570  578,366  516,953  468,098  476,288  472,635  467,681  459,845  427,090  459,843  495,149  522,312  534,494  625,802  660,859  656,028  619,507  597,995 
Accounts payable 2,239,850  2,435,773  2,336,952  1,915,651  1,847,131  1,635,711  1,615,170  1,556,875  1,511,826  1,296,240  1,305,651  1,182,025  1,471,953  1,561,574  1,864,483  2,182,041  2,860,548  2,775,342  2,661,473  2,647,209 
Ratio
Payables turnover1 1.10 0.96 0.93 1.06 1.05 1.15 1.16 1.17 1.20 1.42 1.46 1.70 1.48 1.50 1.33 1.17 0.89

Based on: 10-K (filing date: 2019-02-26), 10-Q (filing date: 2018-11-01), 10-Q (filing date: 2018-08-02), 10-Q (filing date: 2018-05-03), 10-K (filing date: 2018-02-27), 10-Q (filing date: 2017-11-02), 10-Q (filing date: 2017-08-01), 10-Q (filing date: 2017-05-08), 10-K (filing date: 2017-02-27), 10-Q (filing date: 2016-11-03), 10-Q (filing date: 2016-08-04), 10-Q (filing date: 2016-05-05), 10-K (filing date: 2016-02-25), 10-Q (filing date: 2015-11-05), 10-Q (filing date: 2015-08-06), 10-Q (filing date: 2015-05-04), 10-K (filing date: 2015-02-18), 10-Q (filing date: 2014-11-04), 10-Q (filing date: 2014-08-05), 10-Q (filing date: 2014-05-06).

Q4 2018 Calculations

1 Payables turnover = (Cost of operating revenuesQ4 2018 + Cost of operating revenuesQ3 2018 + Cost of operating revenuesQ2 2018 + Cost of operating revenuesQ1 2018) ÷ Accounts payable
= (654,933 + 631,658 + 601,570 + 578,366) ÷ 2,239,850 = 1.10

Ratio Description The company
Payables turnover An activity ratio calculated as cost of goods sold divided by payables. EOG Resources Inc.’s payables turnover increased from Q2 2018 to Q3 2018 and from Q3 2018 to Q4 2018.

Working Capital Turnover

EOG Resources Inc., working capital turnover calculation (quarterly data)

Microsoft Excel LibreOffice Calc
Dec 31, 2018 Sep 30, 2018 Jun 30, 2018 Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016 Dec 31, 2015 Sep 30, 2015 Jun 30, 2015 Mar 31, 2015 Dec 31, 2014 Sep 30, 2014 Jun 30, 2014 Mar 31, 2014
Selected Financial Data (USD $ in thousands)
Current assets 5,057,390  4,817,092  4,231,852  3,585,097  3,279,108  2,763,963  3,383,373  3,394,076  3,554,603  2,737,764  2,450,121  2,365,812  2,592,244  2,824,958  3,737,718  4,793,368  5,416,021  4,884,716  4,724,745  4,822,476 
Less: Current liabilities 3,728,364  4,425,147  4,297,301  2,836,758  2,725,542  2,180,024  2,722,254  2,032,007  2,027,291  1,732,963  1,712,261  1,547,972  1,819,287  2,046,961  2,277,581  3,094,752  3,384,308  3,378,746  3,537,487  3,395,642 
Working capital 1,329,026  391,945  (65,449) 748,339  553,566  583,939  661,119  1,362,069  1,527,312  1,004,801  737,860  817,840  772,957  777,997  1,460,137  1,698,616  2,031,713  1,505,970  1,187,258  1,426,834 
Operating revenues and other 4,574,536  4,781,624  4,238,077  3,681,162  3,340,439  2,644,844  2,612,472  2,610,565  2,402,039  2,118,504  1,775,740  1,354,349  1,796,761  2,172,428  2,469,701  2,318,538  4,645,497  5,118,616  4,187,556  4,083,671 
Ratio
Working capital turnover1 13.00 40.93 16.41 20.25 17.59 14.74 6.54 5.01 7.01 9.62 9.53 11.33 14.92 9.97 9.58 8.88

Based on: 10-K (filing date: 2019-02-26), 10-Q (filing date: 2018-11-01), 10-Q (filing date: 2018-08-02), 10-Q (filing date: 2018-05-03), 10-K (filing date: 2018-02-27), 10-Q (filing date: 2017-11-02), 10-Q (filing date: 2017-08-01), 10-Q (filing date: 2017-05-08), 10-K (filing date: 2017-02-27), 10-Q (filing date: 2016-11-03), 10-Q (filing date: 2016-08-04), 10-Q (filing date: 2016-05-05), 10-K (filing date: 2016-02-25), 10-Q (filing date: 2015-11-05), 10-Q (filing date: 2015-08-06), 10-Q (filing date: 2015-05-04), 10-K (filing date: 2015-02-18), 10-Q (filing date: 2014-11-04), 10-Q (filing date: 2014-08-05), 10-Q (filing date: 2014-05-06).

Q4 2018 Calculations

1 Working capital turnover = (Operating revenues and otherQ4 2018 + Operating revenues and otherQ3 2018 + Operating revenues and otherQ2 2018 + Operating revenues and otherQ1 2018) ÷ Working capital
= (4,574,536 + 4,781,624 + 4,238,077 + 3,681,162) ÷ 1,329,026 = 13.00

Ratio Description The company
Working capital turnover An activity ratio calculated as revenue divided by working capital. EOG Resources Inc.’s working capital turnover improved from Q2 2018 to Q3 2018 but then slightly deteriorated from Q3 2018 to Q4 2018 not reaching Q2 2018 level.

Average Inventory Processing Period

EOG Resources Inc., average inventory processing period calculation (quarterly data)

Microsoft Excel LibreOffice Calc
Dec 31, 2018 Sep 30, 2018 Jun 30, 2018 Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016 Dec 31, 2015 Sep 30, 2015 Jun 30, 2015 Mar 31, 2015 Dec 31, 2014 Sep 30, 2014 Jun 30, 2014 Mar 31, 2014
Selected Financial Data
Inventory turnover 2.87 3.04 3.23 3.49 4.00 5.48 5.58 5.82 5.18 4.29 3.84 3.73 3.64 3.55 3.75 3.35 3.59
Ratio (no. of days)
Average inventory processing period1 127 120 113 105 91 67 65 63 70 85 95 98 100 103 97 109 102

Based on: 10-K (filing date: 2019-02-26), 10-Q (filing date: 2018-11-01), 10-Q (filing date: 2018-08-02), 10-Q (filing date: 2018-05-03), 10-K (filing date: 2018-02-27), 10-Q (filing date: 2017-11-02), 10-Q (filing date: 2017-08-01), 10-Q (filing date: 2017-05-08), 10-K (filing date: 2017-02-27), 10-Q (filing date: 2016-11-03), 10-Q (filing date: 2016-08-04), 10-Q (filing date: 2016-05-05), 10-K (filing date: 2016-02-25), 10-Q (filing date: 2015-11-05), 10-Q (filing date: 2015-08-06), 10-Q (filing date: 2015-05-04), 10-K (filing date: 2015-02-18), 10-Q (filing date: 2014-11-04), 10-Q (filing date: 2014-08-05), 10-Q (filing date: 2014-05-06).

Q4 2018 Calculations

1 Average inventory processing period = 365 ÷ Inventory turnover
= 365 ÷ 2.87 = 127

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. EOG Resources Inc.’s average inventory processing period deteriorated from Q2 2018 to Q3 2018 and from Q3 2018 to Q4 2018.

Average Receivable Collection Period

EOG Resources Inc., average receivable collection period calculation (quarterly data)

Microsoft Excel LibreOffice Calc
Dec 31, 2018 Sep 30, 2018 Jun 30, 2018 Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016 Dec 31, 2015 Sep 30, 2015 Jun 30, 2015 Mar 31, 2015 Dec 31, 2014 Sep 30, 2014 Jun 30, 2014 Mar 31, 2014
Selected Financial Data
Receivables turnover 9.02 7.46 7.29 7.21 7.02 8.26 8.74 7.50 6.29 7.66 7.59 9.98 9.41 10.33 11.15 12.85 10.14
Ratio (no. of days)
Average receivable collection period1 40 49 50 51 52 44 42 49 58 48 48 37 39 35 33 28 36

Based on: 10-K (filing date: 2019-02-26), 10-Q (filing date: 2018-11-01), 10-Q (filing date: 2018-08-02), 10-Q (filing date: 2018-05-03), 10-K (filing date: 2018-02-27), 10-Q (filing date: 2017-11-02), 10-Q (filing date: 2017-08-01), 10-Q (filing date: 2017-05-08), 10-K (filing date: 2017-02-27), 10-Q (filing date: 2016-11-03), 10-Q (filing date: 2016-08-04), 10-Q (filing date: 2016-05-05), 10-K (filing date: 2016-02-25), 10-Q (filing date: 2015-11-05), 10-Q (filing date: 2015-08-06), 10-Q (filing date: 2015-05-04), 10-K (filing date: 2015-02-18), 10-Q (filing date: 2014-11-04), 10-Q (filing date: 2014-08-05), 10-Q (filing date: 2014-05-06).

Q4 2018 Calculations

1 Average receivable collection period = 365 ÷ Receivables turnover
= 365 ÷ 9.02 = 40

Ratio Description The company
Average receivable collection period An activity ratio equal to the number of days in the period divided by receivables turnover. EOG Resources Inc.’s average receivable collection period improved from Q2 2018 to Q3 2018 and from Q3 2018 to Q4 2018.

Operating Cycle

EOG Resources Inc., operating cycle calculation (quarterly data)

No. of days

Microsoft Excel LibreOffice Calc
Dec 31, 2018 Sep 30, 2018 Jun 30, 2018 Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016 Dec 31, 2015 Sep 30, 2015 Jun 30, 2015 Mar 31, 2015 Dec 31, 2014 Sep 30, 2014 Jun 30, 2014 Mar 31, 2014
Selected Financial Data
Average inventory processing period 127 120 113 105 91 67 65 63 70 85 95 98 100 103 97 109 102
Average receivable collection period 40 49 50 51 52 44 42 49 58 48 48 37 39 35 33 28 36
Ratio
Operating cycle1 167 169 163 156 143 111 107 112 128 133 143 135 139 138 130 137 138

Based on: 10-K (filing date: 2019-02-26), 10-Q (filing date: 2018-11-01), 10-Q (filing date: 2018-08-02), 10-Q (filing date: 2018-05-03), 10-K (filing date: 2018-02-27), 10-Q (filing date: 2017-11-02), 10-Q (filing date: 2017-08-01), 10-Q (filing date: 2017-05-08), 10-K (filing date: 2017-02-27), 10-Q (filing date: 2016-11-03), 10-Q (filing date: 2016-08-04), 10-Q (filing date: 2016-05-05), 10-K (filing date: 2016-02-25), 10-Q (filing date: 2015-11-05), 10-Q (filing date: 2015-08-06), 10-Q (filing date: 2015-05-04), 10-K (filing date: 2015-02-18), 10-Q (filing date: 2014-11-04), 10-Q (filing date: 2014-08-05), 10-Q (filing date: 2014-05-06).

Q4 2018 Calculations

1 Operating cycle = Average inventory processing period + Average receivable collection period
= 127 + 40 = 167

Ratio Description The company
Operating cycle Equal to average inventory processing period plus average receivables collection period. EOG Resources Inc.’s operating cycle deteriorated from Q2 2018 to Q3 2018 but then slightly improved from Q3 2018 to Q4 2018.

Average Payables Payment Period

EOG Resources Inc., average payables payment period calculation (quarterly data)

Microsoft Excel LibreOffice Calc
Dec 31, 2018 Sep 30, 2018 Jun 30, 2018 Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016 Dec 31, 2015 Sep 30, 2015 Jun 30, 2015 Mar 31, 2015 Dec 31, 2014 Sep 30, 2014 Jun 30, 2014 Mar 31, 2014
Selected Financial Data
Payables turnover 1.10 0.96 0.93 1.06 1.05 1.15 1.16 1.17 1.20 1.42 1.46 1.70 1.48 1.50 1.33 1.17 0.89
Ratio (no. of days)
Average payables payment period1 331 382 394 343 349 317 314 311 304 257 250 214 247 243 275 311 412

Based on: 10-K (filing date: 2019-02-26), 10-Q (filing date: 2018-11-01), 10-Q (filing date: 2018-08-02), 10-Q (filing date: 2018-05-03), 10-K (filing date: 2018-02-27), 10-Q (filing date: 2017-11-02), 10-Q (filing date: 2017-08-01), 10-Q (filing date: 2017-05-08), 10-K (filing date: 2017-02-27), 10-Q (filing date: 2016-11-03), 10-Q (filing date: 2016-08-04), 10-Q (filing date: 2016-05-05), 10-K (filing date: 2016-02-25), 10-Q (filing date: 2015-11-05), 10-Q (filing date: 2015-08-06), 10-Q (filing date: 2015-05-04), 10-K (filing date: 2015-02-18), 10-Q (filing date: 2014-11-04), 10-Q (filing date: 2014-08-05), 10-Q (filing date: 2014-05-06).

Q4 2018 Calculations

1 Average payables payment period = 365 ÷ Payables turnover
= 365 ÷ 1.10 = 331

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. EOG Resources Inc.’s average payables payment period declined from Q2 2018 to Q3 2018 and from Q3 2018 to Q4 2018.

Cash Conversion Cycle

EOG Resources Inc., cash conversion cycle calculation (quarterly data)

No. of days

Microsoft Excel LibreOffice Calc
Dec 31, 2018 Sep 30, 2018 Jun 30, 2018 Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016 Dec 31, 2015 Sep 30, 2015 Jun 30, 2015 Mar 31, 2015 Dec 31, 2014 Sep 30, 2014 Jun 30, 2014 Mar 31, 2014
Selected Financial Data
Average inventory processing period 127 120 113 105 91 67 65 63 70 85 95 98 100 103 97 109 102
Average receivable collection period 40 49 50 51 52 44 42 49 58 48 48 37 39 35 33 28 36
Average payables payment period 331 382 394 343 349 317 314 311 304 257 250 214 247 243 275 311 412
Ratio
Cash conversion cycle1 -164 -213 -231 -187 -206 -206 -207 -199 -176 -124 -107 -79 -108 -105 -145 -174 -274

Based on: 10-K (filing date: 2019-02-26), 10-Q (filing date: 2018-11-01), 10-Q (filing date: 2018-08-02), 10-Q (filing date: 2018-05-03), 10-K (filing date: 2018-02-27), 10-Q (filing date: 2017-11-02), 10-Q (filing date: 2017-08-01), 10-Q (filing date: 2017-05-08), 10-K (filing date: 2017-02-27), 10-Q (filing date: 2016-11-03), 10-Q (filing date: 2016-08-04), 10-Q (filing date: 2016-05-05), 10-K (filing date: 2016-02-25), 10-Q (filing date: 2015-11-05), 10-Q (filing date: 2015-08-06), 10-Q (filing date: 2015-05-04), 10-K (filing date: 2015-02-18), 10-Q (filing date: 2014-11-04), 10-Q (filing date: 2014-08-05), 10-Q (filing date: 2014-05-06).

Q4 2018 Calculations

1 Cash conversion cycle = Average inventory processing period + Average receivable collection period – Average payables payment period
= 127 + 40331 = -164

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. EOG Resources Inc.’s cash conversion cycle deteriorated from Q2 2018 to Q3 2018 and from Q3 2018 to Q4 2018.