Analysis of Long-term (Investment) Activity Ratios
Quarterly Data
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)
Freeport-McMoRan Inc., long-term (investment) activity ratios (quarterly data)
Based on: 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
- Net Fixed Asset Turnover
- The net fixed asset turnover ratio demonstrated a consistent upward trend from the first quarter of 2021 through the first quarter of 2022, increasing from 0.55 to a peak of 0.8. Following this peak, the ratio experienced a gradual decline throughout 2022 and stabilized in 2023, fluctuating slightly around the 0.65 to 0.68 range. Into 2024 and early 2025, the ratio maintained a relatively stable level with minor variations, ending at 0.65 by the third quarter of 2025. This pattern suggests that the efficiency in using fixed assets to generate revenue improved significantly in 2021 but experienced a reduction in effectiveness thereafter, settling into a moderate yet stable operational level.
- Total Asset Turnover
- The total asset turnover ratio showed a steady increase during 2021, rising from 0.37 in the first quarter to 0.5 by the first quarter of 2022. Post this period, the ratio exhibited a gradual decline through the remainder of 2022, reaching a low of 0.42 by the first quarter of 2023. Subsequently, the ratio remained relatively stable, with minor upward movements noted throughout 2023 and into 2025, fluctuating between 0.44 and 0.46. This trend indicates improved overall asset utilization up to early 2022, followed by a phase of stabilization at a slightly lower level in recent periods.
- Equity Turnover
- The equity turnover ratio increased steadily from 1.49 at the beginning of 2021 to 1.65 in the first quarter of 2022, signaling enhanced ability to generate sales from shareholders' equity during this timeframe. Following this peak, there was a noticeable downward trend throughout the remainder of 2022, with the ratio decreasing to 1.46 by the fourth quarter. The downward trend continued into 2023, reaching around 1.34 in the first quarter, but the ratio gradually improved thereafter, recovering to approximately 1.46 by late 2024. In early to mid-2025, the ratio showed slight declines, ending near 1.39 by the third quarter. Overall, this suggests some volatility in equity utilization efficiency, with an initial strong performance followed by a trough and partial recovery.
Net Fixed Asset Turnover
Freeport-McMoRan Inc., net fixed asset turnover calculation (quarterly data)
Based on: 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
1 Q3 2025 Calculation
Net fixed asset turnover
= (RevenuesQ3 2025
+ RevenuesQ2 2025
+ RevenuesQ1 2025
+ RevenuesQ4 2024)
÷ Property, plant, equipment and mine development costs, net
= (6,972 + 7,582 + 5,728 + 5,720)
÷ 40,257 = 0.65
- Revenue Trends
- Revenues demonstrated a general upward trend from March 2021 through March 2024, increasing from $4,850 million to a peak of $6,790 million. This reflects overall growth during this period. However, fluctuations are noted with some quarters experiencing declines, such as from March 2022 to September 2022, and again from December 2024 to March 2025. The revenue dropped notably in December 2024 to $5,720 million before partially recovering to $6,972 million by September 2025, followed by a slight decrease to $6,972 million in the last quarter. These fluctuations suggest volatility influenced by seasonal factors or market conditions.
- Property, Plant, Equipment, and Mine Development Costs
- The value of property, plant, equipment, and mine development costs consistently increased over the analyzed periods. Starting at $29,775 million in March 2021, it rose steadily to $40,257 million by September 2025. This suggests ongoing capital investment and asset development, reflecting a growth strategy or necessary reinvestment in operational capacity over time without any observed declines.
- Net Fixed Asset Turnover Ratio
- The net fixed asset turnover ratio showed an upward trend from 0.55 in March 2021 to a peak of 0.80 in March 2022, indicating improved efficiency in generating revenue from fixed assets in this timeframe. Afterward, the ratio exhibited a gradual decline and stabilization around 0.65–0.68 through 2023 and 2024. The ratio slightly decreased again to 0.63 by June 2025 before marginally rebounding to 0.65 in September 2025. This pattern points to fluctuating but generally moderate efficiency in utilizing fixed assets to generate sales, with peak efficiency occurring in early 2022 and a tendency towards stabilization thereafter.
- Overall Insights
- The data indicates a pattern of growth in asset base accompanied by revenue growth but with some periods of revenue volatility. The initial increase in net fixed asset turnover ratio suggests a period of heightened operational efficiency that levels off subsequently. Continuous investment in property and equipment aligns with the long-term asset growth strategy. The revenues’ volatility in later periods alongside relatively stable asset investment could imply challenges in market conditions or demand impacting sales generation despite a strong asset base.
Total Asset Turnover
Freeport-McMoRan Inc., total asset turnover calculation (quarterly data)
Based on: 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
1 Q3 2025 Calculation
Total asset turnover
= (RevenuesQ3 2025
+ RevenuesQ2 2025
+ RevenuesQ1 2025
+ RevenuesQ4 2024)
÷ Total assets
= (6,972 + 7,582 + 5,728 + 5,720)
÷ 56,828 = 0.46
- Revenue Trends
- The company’s revenues exhibit a pattern of fluctuation with a general upward trajectory from 2021 through 2025. Starting at approximately $4.85 billion in Q1 2021, revenues increased to reach peaks above $6.5 billion in several quarters during 2022 and early 2024. Notable downturns occurred in mid-2022 and late 2024, where revenues dipped below $6 billion. The highest revenue figures were observed in mid-2025, reaching nearly $7.6 billion, indicating strong market performance in that period. This suggests a cyclical revenue pattern with overall growth across the analyzed timeframe.
- Total Assets Trends
- Total assets show a steady incremental increase over the full period analyzed. From around $43.6 billion in Q1 2021, assets grew consistently to approximately $56.8 billion by Q3 2025. There are no significant declines, with asset growth decelerating somewhat in late 2024 and early 2025 before continuing to advance. This gradual increase in assets suggests ongoing capital investment or acquisition activity supporting business expansion.
- Total Asset Turnover Trends
- The total asset turnover ratio, measuring efficiency in utilizing assets to generate revenues, shows an overall rising trend during 2021 and early 2022, peaking at 0.50 in Q1 2022. Following this peak, the ratio experiences a moderate decline and then stabilizes around 0.44 to 0.46 from late 2022 through 2025. This pattern indicates that asset efficiency improved initially but stabilized at a slightly lower level in subsequent quarters. The relative steadiness thereafter suggests the company maintained stable operational efficiency despite asset base growth.
- Overall Financial Insights
- The data reflects a company experiencing growth in both revenues and asset base, accompanied by a generally improved but ultimately stable asset utilization efficiency. Revenue volatility appears more pronounced than asset fluctuations, potentially hinting at external influences on sales or commodity prices impacting revenue generation. The sustained rise in total assets supports the capacity for long-term growth, even as asset turnover remains relatively stable, pointing to balanced operational execution and investment strategies.
Equity Turnover
Freeport-McMoRan Inc., equity turnover calculation (quarterly data)
Based on: 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
1 Q3 2025 Calculation
Equity turnover
= (RevenuesQ3 2025
+ RevenuesQ2 2025
+ RevenuesQ1 2025
+ RevenuesQ4 2024)
÷ Stockholders’ equity
= (6,972 + 7,582 + 5,728 + 5,720)
÷ 18,685 = 1.39
- Revenues
- The revenue figures exhibit notable fluctuations over the examined periods. Initially, there is a general upward trend from March 2021 through March 2022, peaking at 6603 million US dollars. Afterward, revenues decline during mid to late 2022, reaching lower levels around September 2022 with 5003 million. The subsequent quarters through early 2023 show recovery with an increasing trend again. From early 2024, revenues rise steadily to peak in the third quarter of 2025 at 7582 million US dollars, although the final data point shows a slight decrease to 6972 million. This overall pattern indicates cyclicality with periods of growth followed by contraction and renewed expansion.
- Stockholders’ Equity
- Stockholders’ equity demonstrates a consistent, steady increase throughout the entire period. Starting at approximately 10,920 million US dollars in early 2021, it rises incrementally each quarter to reach nearly 18,685 million by late 2025. There are no evident declines or volatility; the growth seems stable and continuous, reflecting retained earnings accumulation and possibly other equity-related adjustments.
- Equity Turnover Ratio
- The equity turnover ratio exhibits a declining trend from 1.49 in early 2021, rising slightly to a peak of 1.65 by the first quarter of 2022. Subsequently, the ratio enters a downward phase, falling to about 1.34 by the first quarter of 2023. The period from 2023 onwards shows minor fluctuations with marginal increases and decreases, settling near 1.4 in the latest periods. This suggests that while revenues relative to equity initially improved, efficiency in utilizing equity to generate revenues has declined somewhat over time and then stabilized at a lower level.