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.
Paying user area
Try for free
ConocoPhillips pages available for free this week:
- Balance Sheet: Assets
- Common-Size Income Statement
- Analysis of Short-term (Operating) Activity Ratios
- Analysis of Geographic Areas
- Common Stock Valuation Ratios
- Price to FCFE (P/FCFE)
- Present Value of Free Cash Flow to Equity (FCFE)
- Selected Financial Data since 2005
- Return on Assets (ROA) since 2005
- Total Asset Turnover since 2005
The data is hidden behind: . Unhide it.
Get full access to the entire website from $10.42/mo, or
get 1-month access to ConocoPhillips for $24.99.
This is a one-time payment. There is no automatic renewal.
We accept:
Long-term Activity Ratios (Summary)
ConocoPhillips, long-term (investment) activity ratios
| Dec 31, 2025 | Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|---|---|
| Net fixed asset turnover | ||||||
| Net fixed asset turnover (including operating lease, right-of-use asset) | ||||||
| Total asset turnover | ||||||
| Equity turnover |
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31).
An examination of long-term investment activity ratios reveals fluctuating performance across the five-year period. Generally, the ratios demonstrate volatility, with increases in 2022 followed by declines in subsequent years. This suggests potential shifts in asset utilization and operational efficiency.
- Net Fixed Asset Turnover
- The net fixed asset turnover ratio experienced a substantial increase from 0.71 in 2021 to 1.21 in 2022, indicating improved efficiency in generating revenue from fixed assets. However, this was followed by a decrease to 0.80 in 2023 and further declines to 0.58 and 0.63 in 2024 and 2025, respectively. This suggests a diminishing ability to generate sales from the company’s fixed asset base in the later years of the period.
- Net Fixed Asset Turnover (Including Operating Lease, Right-of-Use Asset)
- The trend in net fixed asset turnover, inclusive of operating leases and right-of-use assets, mirrors that of the standard net fixed asset turnover. A rise from 0.70 in 2021 to 1.20 in 2022 is observed, followed by declines to 0.79, 0.57, and 0.63 in 2023, 2024, and 2025. The consistency between the two net fixed asset turnover calculations suggests that operating leases and right-of-use assets do not significantly alter the overall trend.
- Total Asset Turnover
- Total asset turnover exhibited a similar pattern, increasing from 0.51 in 2021 to 0.84 in 2022, then decreasing to 0.59 in 2023, and continuing downward to 0.45 and 0.48 in 2024 and 2025. This indicates a declining efficiency in utilizing all assets to generate revenue. The ratio’s decline in the latter years is more pronounced than the net fixed asset turnover, potentially indicating issues with other asset classes beyond fixed assets.
- Equity Turnover
- Equity turnover increased from 1.01 in 2021 to 1.64 in 2022, suggesting improved revenue generation relative to shareholder equity. However, this was followed by a decrease to 1.14 in 2023, and further declines to 0.84 and 0.91 in 2024 and 2025. This suggests a weakening relationship between revenue and equity, potentially indicating a less effective use of equity financing.
Overall, the ratios suggest a period of initial improvement in asset utilization in 2022, followed by a consistent decline in efficiency across all measured metrics in the subsequent years. Further investigation would be required to determine the underlying causes of these trends.
Net Fixed Asset Turnover
ConocoPhillips, net fixed asset turnover calculation, comparison to benchmarks
| Dec 31, 2025 | Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Sales and other operating revenues | ||||||
| Net properties, plants and equipment, net of accumulated DD&A | ||||||
| Long-term Activity Ratio | ||||||
| Net fixed asset turnover1 | ||||||
| Benchmarks | ||||||
| Net Fixed Asset Turnover, Competitors2 | ||||||
| Chevron Corp. | ||||||
| Exxon Mobil Corp. | ||||||
| Net Fixed Asset Turnover, Sector | ||||||
| Oil, Gas & Consumable Fuels | ||||||
| Net Fixed Asset Turnover, Industry | ||||||
| Energy | ||||||
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31).
1 2025 Calculation
Net fixed asset turnover = Sales and other operating revenues ÷ Net properties, plants and equipment, net of accumulated DD&A
= ÷ =
2 Click competitor name to see calculations.
The net fixed asset turnover ratio exhibits considerable fluctuation over the observed period. Initially, the ratio increased significantly before declining and stabilizing. This suggests changes in the efficiency with which the company utilizes its fixed assets to generate revenue.
- Overall Trend
- The ratio began at 0.71 in 2021, rose sharply to 1.21 in 2022, then decreased to 0.80 in 2023. A further decline to 0.58 occurred in 2024, followed by a slight recovery to 0.63 in 2025. This pattern indicates an initial improvement in asset utilization, followed by a period of diminishing returns.
- 2021 to 2022
- A substantial increase in the net fixed asset turnover ratio is observed between 2021 and 2022. This coincided with a significant rise in sales and other operating revenues, while net properties, plants, and equipment remained relatively stable. This suggests the company became more efficient at generating sales from its existing fixed asset base during this period.
- 2022 to 2025
- From 2022 to 2025, the ratio demonstrates a downward trend, despite a moderate increase in sales and other operating revenues in 2025. The increase in net properties, plants, and equipment, particularly the substantial rise in 2024, likely contributed to this decline. The company appears to be investing in fixed assets at a rate that is not immediately translating into proportional revenue growth.
- Recent Performance
- The ratio stabilized somewhat in 2025, but remains below the peak observed in 2022. This suggests that while the rate of decline has slowed, the company has not yet fully optimized the utilization of its expanded fixed asset base. Further monitoring is warranted to determine if future revenue growth will catch up with the increased investment in fixed assets.
Net Fixed Asset Turnover (including Operating Lease, Right-of-Use Asset)
ConocoPhillips, net fixed asset turnover (including operating lease, right-of-use asset) calculation, comparison to benchmarks
| Dec 31, 2025 | Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Sales and other operating revenues | ||||||
| Net properties, plants and equipment, net of accumulated DD&A | ||||||
| Right-of-use assets, operating leases (included in Other assets) | ||||||
| Net properties, plants and equipment, net of accumulated DD&A (including operating lease, right-of-use asset) | ||||||
| Long-term Activity Ratio | ||||||
| Net fixed asset turnover (including operating lease, right-of-use asset)1 | ||||||
| Benchmarks | ||||||
| Net Fixed Asset Turnover (including Operating Lease, Right-of-Use Asset), Competitors2 | ||||||
| Chevron Corp. | ||||||
| Exxon Mobil Corp. | ||||||
| Net Fixed Asset Turnover (including Operating Lease, Right-of-Use Asset), Sector | ||||||
| Oil, Gas & Consumable Fuels | ||||||
| Net Fixed Asset Turnover (including Operating Lease, Right-of-Use Asset), Industry | ||||||
| Energy | ||||||
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31).
1 2025 Calculation
Net fixed asset turnover (including operating lease, right-of-use asset) = Sales and other operating revenues ÷ Net properties, plants and equipment, net of accumulated DD&A (including operating lease, right-of-use asset)
= ÷ =
2 Click competitor name to see calculations.
The net fixed asset turnover ratio, calculated using net properties, plants, and equipment inclusive of operating lease right-of-use assets, demonstrates considerable fluctuation over the five-year period. Sales and other operating revenues and the value of net fixed assets both influence this ratio, and their combined movement explains the observed trends.
- Overall Trend
- The ratio began at 0.70 in 2021, increased substantially to 1.20 in 2022, then decreased to 0.79 in 2023, followed by a further decline to 0.57 in 2024, and a slight recovery to 0.63 in 2025. This indicates inconsistent efficiency in generating sales from its fixed asset base.
- 2021-2022
- A significant increase in the net fixed asset turnover ratio occurred between 2021 and 2022. This was driven by a substantial rise in sales and other operating revenues, from US$45,828 million to US$78,494 million, while net properties, plants, and equipment remained relatively stable. This suggests improved asset utilization and sales generation during this period.
- 2022-2023
- The ratio decreased from 1.20 in 2022 to 0.79 in 2023. This decline coincided with a decrease in sales and other operating revenues, falling from US$78,494 million to US$56,141 million, while net properties, plants, and equipment increased. The increase in fixed assets, coupled with lower sales, contributed to the reduced turnover.
- 2023-2025
- From 2023 to 2025, the ratio continued a downward trend initially, reaching a low of 0.57 in 2024, before a modest increase to 0.63 in 2025. Net properties, plants, and equipment increased significantly in 2024, while sales remained relatively flat. The slight recovery in 2025 is attributable to a small increase in sales, partially offsetting the high level of fixed assets.
The fluctuations in the net fixed asset turnover ratio suggest a sensitivity to changes in both revenue and the asset base. The considerable increase in fixed assets in 2024, without a corresponding increase in sales, resulted in the lowest ratio observed during the period. Continued monitoring of this ratio, alongside its component parts, is recommended to assess the efficiency of asset utilization.
Total Asset Turnover
ConocoPhillips, total asset turnover calculation, comparison to benchmarks
| Dec 31, 2025 | Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Sales and other operating revenues | ||||||
| Total assets | ||||||
| Long-term Activity Ratio | ||||||
| Total asset turnover1 | ||||||
| Benchmarks | ||||||
| Total Asset Turnover, Competitors2 | ||||||
| Chevron Corp. | ||||||
| Exxon Mobil Corp. | ||||||
| Total Asset Turnover, Sector | ||||||
| Oil, Gas & Consumable Fuels | ||||||
| Total Asset Turnover, Industry | ||||||
| Energy | ||||||
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31).
1 2025 Calculation
Total asset turnover = Sales and other operating revenues ÷ Total assets
= ÷ =
2 Click competitor name to see calculations.
The analysis reveals fluctuations in the total asset turnover ratio over the five-year period. Initially, a substantial increase is observed, followed by a decline and a slight recovery.
- Total Asset Turnover
- The total asset turnover ratio increased significantly from 0.51 in 2021 to 0.84 in 2022. This indicates a more efficient utilization of assets in generating sales during 2022. However, the ratio decreased to 0.59 in 2023, suggesting a reduced efficiency in asset utilization. A further decline to 0.45 occurred in 2024, representing the lowest value within the observed period. The ratio experienced a modest recovery in 2025, rising to 0.48, but remained below the levels seen in 2022 and 2023.
- The initial increase in 2022 coincided with a substantial rise in sales and other operating revenues. The subsequent declines in 2023 and 2024, despite relatively stable or slightly decreasing revenues, suggest that asset growth outpaced revenue generation. The slight improvement in 2025 may indicate a stabilization of asset levels relative to sales.
- The fluctuations in the ratio warrant further investigation. The significant asset increase in 2024, coupled with a relatively flat revenue performance, likely contributed to the lowest turnover ratio. Understanding the nature of these asset additions is crucial for assessing the long-term implications of this trend.
Overall, the trend suggests a period of improving asset utilization followed by a period of diminishing efficiency, with a slight indication of stabilization in the most recent year. Continued monitoring of this ratio, alongside related performance indicators, is recommended.
Equity Turnover
ConocoPhillips, equity turnover calculation, comparison to benchmarks
| Dec 31, 2025 | Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Sales and other operating revenues | ||||||
| Equity | ||||||
| Long-term Activity Ratio | ||||||
| Equity turnover1 | ||||||
| Benchmarks | ||||||
| Equity Turnover, Competitors2 | ||||||
| Chevron Corp. | ||||||
| Exxon Mobil Corp. | ||||||
| Equity Turnover, Sector | ||||||
| Oil, Gas & Consumable Fuels | ||||||
| Equity Turnover, Industry | ||||||
| Energy | ||||||
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31).
1 2025 Calculation
Equity turnover = Sales and other operating revenues ÷ Equity
= ÷ =
2 Click competitor name to see calculations.
The equity turnover ratio exhibits considerable fluctuation over the observed five-year period. Initially, the ratio increased significantly before declining and stabilizing. This suggests a changing relationship between sales and the company’s equity base.
- Equity Turnover Trend
- The equity turnover ratio began at 1.01 in 2021. A substantial increase was noted in 2022, reaching 1.64. This indicates a more efficient utilization of equity to generate sales revenue during that year. However, the ratio decreased to 1.14 in 2023, and continued its downward trajectory to 0.84 in 2024. The decline suggests a diminishing ability to generate sales from each dollar of equity. By 2025, the ratio showed a slight recovery to 0.91, indicating a potential stabilization, though remaining below the 2022 peak.
The initial increase in equity turnover in 2022 coincided with a significant rise in sales and other operating revenues. The subsequent decline in the ratio, despite relatively stable sales figures in 2023, 2024, and 2025, is primarily attributable to the growth in equity. This suggests the company was reinvesting earnings or issuing new equity, which, while strengthening the balance sheet, diluted the efficiency of equity utilization in generating sales.
- Sales and Equity Relationship
- Sales increased substantially from 2021 to 2022, while equity experienced more moderate growth. This disparity contributed to the higher equity turnover in 2022. From 2022 onward, sales experienced a decrease and then relative stability, while equity continued to grow, leading to the observed decline in the equity turnover ratio. The relatively consistent equity levels in 2024 and 2025, coupled with a slight increase in sales in 2025, resulted in a modest improvement in the ratio during that year.
The observed trend warrants further investigation to determine the underlying drivers of equity growth and whether the decline in equity turnover is consistent with the company’s strategic objectives. A sustained low equity turnover ratio could indicate overcapitalization or inefficient asset utilization.