Arcosa Inc (ACA)

Fixed asset turnover is a financial ratio that measures a company's ability to generate revenue from its fixed assets. In the case of Arcosa Inc, the fixed asset turnover ratio has shown some fluctuation over the past few years.

As of December 31, 2020, Arcosa Inc had a fixed asset turnover of 2.12, indicating that the company generated $2.12 in sales for every dollar invested in fixed assets. This high ratio suggests that Arcosa Inc efficiently utilized its fixed assets to generate revenue.

However, by December 31, 2021, the fixed asset turnover ratio decreased to 1.69, indicating a decline in efficiency in generating revenue from fixed assets. This could be a result of either lower sales or an increase in the value of fixed assets without a corresponding increase in revenue.

In the following year, as of December 31, 2022, the fixed asset turnover ratio improved slightly to 1.87. While still below the initial ratio in 2020, this increase suggests that Arcosa Inc may have made efforts to better utilize its fixed assets to generate revenue.

The data for December 31, 2023, and December 31, 2024, is not available (marked as "—"), making it difficult to assess the trend in the company's fixed asset turnover ratio for those years.

Overall, monitoring the fixed asset turnover ratio is crucial for evaluating how efficiently Arcosa Inc is managing its fixed assets to generate revenue. Further analysis and trend observation would provide valuable insights into the company's operational efficiency and asset utilization.

Peer comparison

Dec 31, 2024