Asbury Automotive Group Inc (ABG)

Fixed asset turnover

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Revenue (ttm)	US$ in thousands	14,802,700	14,696,900	14,896,600	15,104,200	15,433,700	14,382,600	12,922,800	11,556,700	9,837,800	9,417,000	8,856,300	7,717,400	7,131,800	6,791,800	6,788,400	7,146,800	7,210,300	7,100,500	7,015,900	6,936,000
Property, plant and equipment	US$ in thousands	2,315,700	1,960,500	1,940,200	1,930,500	1,941,000	1,911,600	1,974,000	1,988,400	1,990,000	1,196,800	1,177,600	950,800	956,200	945,400	922,800	924,400	909,700	943,400	918,900	915,400
Fixed asset turnover		6.39	7.50	7.68	7.82	7.95	7.52	6.55	5.81	4.94	7.87	7.52	8.12	7.46	7.18	7.36	7.73	7.93	7.53	7.64	7.58

December 31, 2023 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $14,802,700K ÷ $2,315,700K
= 6.39

The fixed asset turnover ratio for Asbury Automotive Group Inc has shown a consistent upward trend over the past eight quarters, indicating the company's increasing efficiency in generating sales from its fixed assets. The ratio has improved from 5.81 in Q1 2022 to 7.82 in Q1 2023, reflecting a substantial increase in sales relative to the fixed assets employed during this period. This suggests that Asbury Automotive has been able to utilize its fixed assets more effectively to generate revenue as the ratio consistently exceeds 6. This improvement signals positive operational performance and effective asset management by the company. Overall, the trending increase in fixed asset turnover ratio indicates enhanced productivity and profitability of Asbury Automotive Group Inc's fixed assets over the specified period.