The Andersons Inc (ANDE)
Fixed asset turnover
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 11,257,550 | 11,347,410 | 12,362,110 | 13,587,090 | 14,750,110 | 16,214,600 | 16,798,230 | 17,228,670 | 17,325,380 | 16,430,590 | 15,210,090 | 13,995,270 | 12,612,040 | 11,337,640 | 10,224,410 | 8,843,350 | 8,064,620 | 7,441,920 | 7,539,090 | 8,009,390 |
| Property, plant and equipment | US$ in thousands | 868,151 | 709,951 | 694,136 | 689,113 | 693,365 | 680,188 | 663,441 | 678,717 | 762,729 | 765,939 | 763,443 | 772,245 | 786,029 | 797,660 | 823,563 | 839,950 | 860,311 | 870,151 | 906,017 | 921,585 |
| Fixed asset turnover | 12.97 | 15.98 | 17.81 | 19.72 | 21.27 | 23.84 | 25.32 | 25.38 | 22.71 | 21.45 | 19.92 | 18.12 | 16.05 | 14.21 | 12.41 | 10.53 | 9.37 | 8.55 | 8.32 | 8.69 |
December 31, 2024 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $11,257,550K ÷ $868,151K
= 12.97
The fixed asset turnover ratio measures how efficiently a company utilizes its fixed assets to generate revenue. A higher ratio indicates better utilization of fixed assets.
Analyzing The Andersons Inc's fixed asset turnover ratio over the past few years shows a general increasing trend from 8.69 in March 2020 to a peak of 25.38 in March 2023. This indicates that the company was able to generate more revenue per dollar of fixed assets during this period.
However, from March 2023 onwards, the fixed asset turnover ratio started to decline, reaching 12.97 in December 2024. This suggests a potential decrease in the efficiency of using fixed assets to generate revenue during this period.
Overall, the significant fluctuations in The Andersons Inc's fixed asset turnover ratio indicate changes in the company's operational efficiency and effectiveness in utilizing its fixed assets for revenue generation. Further analysis and investigation into the reasons behind these fluctuations would be necessary to understand the underlying factors impacting the company's fixed asset turnover ratio.
Peer comparison
Dec 31, 2024