Adobe Systems Incorporated (ADBE)

Fixed asset turnover

		Mar 1, 2024	Dec 1, 2023	Sep 1, 2023	Mar 3, 2023	Dec 2, 2022	Sep 2, 2022	Jun 3, 2022	Mar 4, 2022	Dec 3, 2021	Sep 3, 2021	Jun 4, 2021	Mar 5, 2021	Nov 27, 2020	Aug 28, 2020	May 29, 2020	Feb 28, 2020	Nov 29, 2019	Aug 30, 2019	May 31, 2019	Mar 1, 2019
Revenue (ttm)	US$ in thousands	19,775,000	19,118,000	18,503,000	17,999,000	17,606,000	17,191,000	16,693,000	16,142,000	15,785,000	15,099,000	14,389,000	13,682,000	12,868,000	12,436,000	12,045,000	11,661,000	11,171,000	10,643,620	10,100,700	9,552,060
Property, plant and equipment	US$ in thousands	1,988,000	2,030,000	2,036,000	1,967,000	1,908,000	1,858,000	1,790,000	1,703,000	1,673,000	1,629,000	1,573,000	1,530,000	1,517,000	1,467,000	1,387,000	1,340,000	1,293,000	1,244,010	1,205,020	1,104,060
Fixed asset turnover		9.95	9.42	9.09	9.15	9.23	9.25	9.33	9.48	9.44	9.27	9.15	8.94	8.48	8.48	8.68	8.70	8.64	8.56	8.38	8.65

March 1, 2024 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $19,775,000K ÷ $1,988,000K
= 9.95

Fixed asset turnover is a key financial ratio that measures the efficiency of a company in generating sales revenue from its fixed assets. In the case of Adobe Systems Incorporated, the fixed asset turnover ratio has shown a consistent trend over the past few periods, ranging between approximately 8.38 to 9.95.

The ratio has generally been above 8, indicating that Adobe is effective in utilizing its fixed assets to generate sales. A higher fixed asset turnover ratio suggests that Adobe is efficiently managing its fixed assets to generate more revenue relative to the value of those assets.

Despite minor fluctuations in the ratio over the periods analyzed, the overall trend suggests that Adobe has maintained a strong level of efficiency in utilizing its fixed assets to drive sales. This consistency in performance indicates effective asset management practices within the company, contributing to its overall financial health and operational efficiency.