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)
Pioneer Natural Resources Co., long-term (investment) activity ratios
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
- Net Fixed Asset Turnover
- The ratio exhibits a decline from 0.6 in 2019 to 0.44 in 2020, indicating reduced efficiency in using net fixed assets to generate sales during that period. This is followed by a recovery to 0.6 in 2021 and a notable increase to 0.78 in 2022, suggesting improved asset utilization. However, in 2023, the ratio decreases again to 0.58, reflecting a slight reduction in efficiency compared to the prior year.
- Net Fixed Asset Turnover (Including Operating Lease, Right-of-Use Asset)
- This indicator closely follows the trend of the net fixed asset turnover ratio, starting at 0.59 in 2019 and dipping to 0.43 in 2020. It then rises to 0.59 in 2021 and reaches a peak of 0.77 in 2022 before falling to 0.58 in 2023. The similar pattern indicates that including the right-of-use asset does not significantly alter the overall asset usage efficiency trend.
- Total Asset Turnover
- The total asset turnover ratio decreases from 0.51 in 2019 to 0.37 in 2020, showing a drop in overall asset efficiency during that year. It improves to 0.49 in 2021 and further increases to 0.68 in 2022, marking the highest efficiency in the observed period. Nonetheless, there is a decline to 0.53 in 2023, indicating a slight reduction in asset utilization after the peak.
- Equity Turnover
- Equity turnover shows a significant drop from 0.8 in 2019 to 0.61 in 2020. Subsequently, the ratio climbs to 0.78 in 2021 and reaches its highest point at 1.08 in 2022, implying more effective use of equity to generate revenue during that year. In 2023, the ratio decreases to 0.84, which remains above the levels seen in 2019, indicating sustained relatively strong equity efficiency despite the reduction.
Net Fixed Asset Turnover
Pioneer Natural Resources Co., net fixed asset turnover calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Revenue from contracts with purchasers | 19,374) | 24,384) | 17,870) | 7,024) | 9,671) | |
| Property and equipment, net | 33,189) | 31,288) | 29,876) | 16,023) | 16,077) | |
| Long-term Activity Ratio | ||||||
| Net fixed asset turnover1 | 0.58 | 0.78 | 0.60 | 0.44 | 0.60 | |
| Benchmarks | ||||||
| Net Fixed Asset Turnover, Competitors2 | ||||||
| Chevron Corp. | 1.28 | 1.64 | 1.06 | 0.60 | — | |
| ConocoPhillips | 0.80 | 1.21 | 0.71 | 0.47 | — | |
| Exxon Mobil Corp. | 1.56 | 1.95 | 1.28 | 0.78 | — | |
| Occidental Petroleum Corp. | 0.48 | 0.63 | 0.43 | 0.27 | — | |
| Net Fixed Asset Turnover, Sector | ||||||
| Oil, Gas & Consumable Fuels | 1.24 | 1.59 | 1.03 | 0.63 | — | |
| Net Fixed Asset Turnover, Industry | ||||||
| Energy | 1.29 | 1.63 | 1.07 | 0.67 | — | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Net fixed asset turnover = Revenue from contracts with purchasers ÷ Property and equipment, net
= 19,374 ÷ 33,189 = 0.58
2 Click competitor name to see calculations.
- Revenue from Contracts with Purchasers
- The revenue exhibited significant volatility over the analyzed period. Starting at 9,671 million US dollars in 2019, it decreased markedly to 7,024 million in 2020, likely reflecting adverse external factors impacting sales. This was followed by a strong recovery in 2021, with revenue more than doubling to 17,870 million. The upward trajectory continued into 2022, reaching a peak of 24,384 million. However, in 2023, revenue declined to 19,374 million, indicating a possible market correction or operational challenge after the preceding growth.
- Property and Equipment, Net
- The net value of property and equipment showed a consistent upward trend throughout the period. From a base of 16,077 million US dollars in 2019, the asset base remained relatively stable in 2020 at 16,023 million, but then increased sharply in 2021 to 29,876 million. This upward momentum continued in 2022 and 2023, reaching 31,288 million and 33,189 million respectively. The steady increase suggests ongoing capital investments and asset acquisition or improvements over these years.
- Net Fixed Asset Turnover
- This ratio, which measures revenue generated per unit of fixed assets, displayed considerable fluctuations. Beginning at 0.6 in 2019, it declined to 0.44 in 2020, reflecting reduced efficiency or underutilization of assets during a period of lower revenue. The ratio recovered to 0.6 in 2021 and improved further to 0.78 in 2022, indicating enhanced asset utilization and operational efficiency. In 2023, the ratio dropped to 0.58, which could be attributed to the substantial increase in fixed assets contrasted with the revenue reduction in the same year, signaling a decrease in efficiency.
- Overall Insights
- The data reveals a dynamic operational environment with periods of both contraction and growth. The significant investments in property and equipment suggest a strategic focus on capacity expansion or modernization. Despite fluctuations in revenue, particularly the sharp drop in 2020 and partial decline in 2023, the company generally maintained or improved asset utilization efficiency, especially notable in the 2021-2022 period. The decline in fixed asset turnover in 2023 warrants further investigation to confirm whether it reflects temporary inefficiencies or longer-term structural changes.
Net Fixed Asset Turnover (including Operating Lease, Right-of-Use Asset)
Pioneer Natural Resources Co., net fixed asset turnover (including operating lease, right-of-use asset) calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Revenue from contracts with purchasers | 19,374) | 24,384) | 17,870) | 7,024) | 9,671) | |
| Property and equipment, net | 33,189) | 31,288) | 29,876) | 16,023) | 16,077) | |
| Operating lease right-of-use assets | 398) | 340) | 348) | 197) | 280) | |
| Property and equipment, net (including operating lease, right-of-use asset) | 33,587) | 31,628) | 30,224) | 16,220) | 16,357) | |
| Long-term Activity Ratio | ||||||
| Net fixed asset turnover (including operating lease, right-of-use asset)1 | 0.58 | 0.77 | 0.59 | 0.43 | 0.59 | |
| Benchmarks | ||||||
| Net Fixed Asset Turnover (including Operating Lease, Right-of-Use Asset), Competitors2 | ||||||
| Chevron Corp. | 1.24 | 1.59 | 1.03 | 0.59 | — | |
| ConocoPhillips | 0.79 | 1.20 | 0.70 | 0.46 | — | |
| Exxon Mobil Corp. | 1.51 | 1.89 | 1.24 | 0.76 | — | |
| Occidental Petroleum Corp. | 0.47 | 0.62 | 0.43 | 0.27 | — | |
| Net Fixed Asset Turnover (including Operating Lease, Right-of-Use Asset), Sector | ||||||
| Oil, Gas & Consumable Fuels | 1.20 | 1.55 | 1.01 | 0.62 | — | |
| Net Fixed Asset Turnover (including Operating Lease, Right-of-Use Asset), Industry | ||||||
| Energy | 1.25 | 1.58 | 1.04 | 0.65 | — | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Net fixed asset turnover (including operating lease, right-of-use asset) = Revenue from contracts with purchasers ÷ Property and equipment, net (including operating lease, right-of-use asset)
= 19,374 ÷ 33,587 = 0.58
2 Click competitor name to see calculations.
- Revenue from contracts with purchasers
- The revenue experienced a significant decline from 2019 to 2020, dropping from 9,671 million US dollars to 7,024 million US dollars. However, this was followed by a sharp increase in 2021, more than doubling to 17,870 million US dollars. The upward trend continued in 2022, reaching a peak of 24,384 million US dollars. In 2023, revenue decreased to 19,374 million US dollars, indicating some volatility and a potential correction after the high growth in 2021 and 2022.
- Property and equipment, net (including operating lease, right-of-use asset)
- The net value of property and equipment remained relatively stable between 2019 and 2020, with a slight decrease from 16,357 million US dollars to 16,220 million US dollars. A significant increase occurred in 2021, rising substantially to 30,224 million US dollars. This upward trend persisted through 2022 and 2023, reaching 31,628 million US dollars and then 33,587 million US dollars, respectively. This suggests ongoing capital investment and asset accumulation over the recent years.
- Net fixed asset turnover (including operating lease, right-of-use asset)
- The net fixed asset turnover ratio demonstrated variability across the observed periods. It started at 0.59 in 2019, dropped to 0.43 in 2020, which coincides with the reduction in revenue while assets remained relatively stable. The ratio recovered to 0.59 in 2021, matching the increased revenue figure for that year. In 2022, the ratio peaked at 0.77, indicating improved efficiency in utilizing fixed assets to generate revenue. However, it declined again to 0.58 in 2023, suggesting a reduction in asset use efficiency relative to revenue generation compared to the previous year.
Total Asset Turnover
Pioneer Natural Resources Co., total asset turnover calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Revenue from contracts with purchasers | 19,374) | 24,384) | 17,870) | 7,024) | 9,671) | |
| Total assets | 36,613) | 35,740) | 36,811) | 19,229) | 19,067) | |
| Long-term Activity Ratio | ||||||
| Total asset turnover1 | 0.53 | 0.68 | 0.49 | 0.37 | 0.51 | |
| Benchmarks | ||||||
| Total Asset Turnover, Competitors2 | ||||||
| Chevron Corp. | 0.75 | 0.91 | 0.65 | 0.39 | — | |
| ConocoPhillips | 0.59 | 0.84 | 0.51 | 0.30 | — | |
| Exxon Mobil Corp. | 0.89 | 1.08 | 0.82 | 0.54 | — | |
| Occidental Petroleum Corp. | 0.38 | 0.50 | 0.35 | 0.22 | — | |
| Total Asset Turnover, Sector | ||||||
| Oil, Gas & Consumable Fuels | 0.76 | 0.94 | 0.68 | 0.43 | — | |
| Total Asset Turnover, Industry | ||||||
| Energy | 0.76 | 0.93 | 0.67 | 0.44 | — | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Total asset turnover = Revenue from contracts with purchasers ÷ Total assets
= 19,374 ÷ 36,613 = 0.53
2 Click competitor name to see calculations.
- Revenue from Contracts with Purchasers
- The revenue exhibited significant fluctuations over the five-year period. It decreased sharply from 9,671 million USD in 2019 to 7,024 million USD in 2020, indicating a contraction in earnings. Subsequently, a strong recovery occurred in 2021, with revenue increasing substantially to 17,870 million USD. This upward trend continued in 2022, peaking at 24,384 million USD, before experiencing a decline to 19,374 million USD in 2023. Overall, the revenue pattern shows initial volatility followed by growth and a modest reduction in the final year.
- Total Assets
- Total assets demonstrated a growth trajectory from 19,067 million USD in 2019 to 19,229 million USD in 2020, showing relative stability in the first two years. A significant increase was observed in 2021, where total assets nearly doubled to 36,811 million USD. In 2022 and 2023, total assets remained relatively stable, with minor fluctuations around 35,740 million USD and 36,613 million USD respectively. This indicates a substantial expansion in asset base predominantly occurring in 2021, followed by stabilization in subsequent years.
- Total Asset Turnover
- The total asset turnover ratio, which measures efficiency in utilizing assets to generate revenue, showed variability over the period. It declined from 0.51 in 2019 to 0.37 in 2020, suggesting a decrease in asset utilization efficiency, likely impacted by the drop in revenue or the maintained asset levels. In 2021, the ratio rebounded to 0.49, paralleling the revenue recovery and increase in assets. The highest turnover occurred in 2022 at 0.68, indicating enhanced efficiency in asset use relative to revenue generation. However, in 2023, the ratio decreased to 0.53, reflecting a slight decline in efficiency despite relatively stable asset levels.
- Summary of Trends
- The data reveals a period of initial financial challenges in 2020, likely due to external factors affecting revenue, followed by strong revenue growth in 2021 and 2022, supported by a substantial increase in total assets. Asset expansion in 2021 was considerable, potentially reflecting strategic investments or acquisitions. Efficiency, as measured by total asset turnover, decreased during the downturn but improved markedly in 2022, indicating better utilization of assets to generate sales. The slight decrease in both revenue and turnover in 2023 suggests potential moderation in performance or operational challenges. Overall, the company experienced growth and increased operational efficiency post-2020, with some signs of deceleration in the most recent year.
Equity Turnover
Pioneer Natural Resources Co., equity turnover calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Revenue from contracts with purchasers | 19,374) | 24,384) | 17,870) | 7,024) | 9,671) | |
| Equity | 23,171) | 22,541) | 22,837) | 11,569) | 12,119) | |
| Long-term Activity Ratio | ||||||
| Equity turnover1 | 0.84 | 1.08 | 0.78 | 0.61 | 0.80 | |
| Benchmarks | ||||||
| Equity Turnover, Competitors2 | ||||||
| Chevron Corp. | 1.22 | 1.48 | 1.12 | 0.72 | — | |
| ConocoPhillips | 1.14 | 1.64 | 1.01 | 0.63 | — | |
| Exxon Mobil Corp. | 1.63 | 2.04 | 1.64 | 1.14 | — | |
| Occidental Petroleum Corp. | 0.93 | 1.22 | 1.28 | 0.96 | — | |
| Equity Turnover, Sector | ||||||
| Oil, Gas & Consumable Fuels | 1.38 | 1.73 | 1.35 | 0.92 | — | |
| Equity Turnover, Industry | ||||||
| Energy | 1.39 | 1.73 | 1.36 | 0.95 | — | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Equity turnover = Revenue from contracts with purchasers ÷ Equity
= 19,374 ÷ 23,171 = 0.84
2 Click competitor name to see calculations.
- Revenue from contracts with purchasers
- The revenue demonstrated a significant fluctuation over the five-year period. There was a notable decline from 9,671 million US dollars in 2019 to 7,024 million US dollars in 2020. This was followed by a sharp increase in 2021, where revenue more than doubled to 17,870 million US dollars. The upward trend continued, peaking at 24,384 million US dollars in 2022, before declining to 19,374 million US dollars in 2023. This pattern indicates initial challenges in 2020, likely due to external factors, succeeded by robust recovery and growth, with a slight reduction in the final year observed.
- Equity
- Equity levels were relatively stable with minor variation. Beginning at 12,119 million US dollars in 2019, equity slightly decreased to 11,569 million US dollars in 2020. Subsequently, equity nearly doubled to 22,837 million US dollars in 2021 and remained relatively stable through 2022 and 2023 with values of 22,541 million and 23,171 million US dollars respectively. This suggests that after a minor dip, the company strengthened its equity base significantly in 2021 and maintained this capital level.
- Equity turnover ratio
- The equity turnover ratio followed a somewhat volatile pattern. It started at 0.8 in 2019, declined to its lowest point of 0.61 in 2020, which aligns with the revenue downturn in that year. The ratio recovered to 0.78 in 2021 and peaked at 1.08 in 2022, indicating improved efficiency in generating revenue from equity. However, it decreased again to 0.84 in 2023. This fluctuation reflects changes in operational efficiency, with a peak performance in converting equity into revenue observed in 2022.