Aptiv PLC (APTV)
Fixed asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 20,051,000 | 17,489,000 | 15,618,000 | 13,066,000 | 14,357,000 |
| Property, plant and equipment | US$ in thousands | 3,785,000 | 3,495,000 | 3,294,000 | 3,301,000 | 3,309,000 |
| Fixed asset turnover | 5.30 | 5.00 | 4.74 | 3.96 | 4.34 |
December 31, 2023 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $20,051,000K ÷ $3,785,000K
= 5.30
Fixed asset turnover is a measure of how effectively a company is utilizing its fixed assets to generate revenue. In the case of Aptiv PLC, the trend in fixed asset turnover over the past five years shows a consistent improvement, increasing from 4.34 in 2019 to 5.30 in 2023.
A fixed asset turnover ratio of 5.30 in 2023 indicates that for every $1 of fixed assets Aptiv PLC owns, the company generated $5.30 in revenue. This suggests that the company is effectively utilizing its fixed assets to generate sales.
The increasing trend in fixed asset turnover reflects improved efficiency in the utilization of fixed assets over time, which could indicate better asset management and operational performance. Overall, the increasing trend in Aptiv PLC's fixed asset turnover ratio is a positive signal of the company's operational efficiency and effectiveness in generating revenue from its fixed assets.
Peer comparison
Dec 31, 2023