Accenture plc (ACN)

Fixed asset turnover

		Aug 31, 2024	May 31, 2024	Feb 29, 2024	Nov 30, 2023	Aug 31, 2023	May 31, 2023	Feb 28, 2023	Nov 30, 2022	Aug 31, 2022	May 31, 2022	Feb 28, 2022	Nov 30, 2021	Aug 31, 2021	May 31, 2021	Feb 28, 2021	Nov 30, 2020	Aug 31, 2020	May 31, 2020	Feb 29, 2020	Nov 30, 2019
Revenue (ttm)	US$ in thousands	64,896,400	64,475,800	64,573,600	64,588,300	64,111,800	63,550,300	63,144,500	62,377,000	61,594,400	59,590,000	56,695,000	53,736,400	50,533,400	47,949,400	45,676,900	44,730,300	44,327,100	44,547,400	44,655,800	43,968,400
Property, plant and equipment	US$ in thousands	1,521,120	1,451,600	1,458,840	1,467,900	1,530,010	1,534,930	1,560,690	1,634,070	1,659,140	1,665,480	1,656,790	1,654,060	1,639,100	1,538,780	1,500,780	1,506,820	1,545,570	1,445,180	1,425,430	1,386,440
Fixed asset turnover		42.66	44.42	44.26	44.00	41.90	41.40	40.46	38.17	37.12	35.78	34.22	32.49	30.83	31.16	30.44	29.69	28.68	30.82	31.33	31.71

August 31, 2024 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $64,896,400K ÷ $1,521,120K
= 42.66

Fixed asset turnover measures the efficiency of a company in generating sales using its fixed assets. A higher fixed asset turnover ratio indicates that the company is effectively utilizing its fixed assets to generate revenue.

Analyzing the fixed asset turnover of Accenture plc over the past several reporting periods shows a generally increasing trend. The ratio has exhibited an upward trajectory, improving from 28.68 in November 2020 to 44.42 in May 2024. This suggests that Accenture has been more efficient in using its fixed assets to generate sales over time.

The company's fixed asset turnover ratio peaked at 44.42 in May 2024, indicating that Accenture was particularly effective in generating revenue relative to its investment in fixed assets during that period. This high level of efficiency suggests that Accenture has been effectively managing its fixed assets to drive sales and profitability.

Overall, the upward trend in Accenture's fixed asset turnover ratio reflects the company's ongoing efforts to optimize its asset base and enhance operational efficiency. This trend indicates that Accenture has been successful in leveraging its fixed assets to support business activities and generate value for shareholders.