Atmos Energy Corporation (ATO)

Fixed asset turnover

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Revenue (ttm)	US$ in thousands	3,949,815	4,275,355	4,410,341	4,564,037	4,672,887	4,201,667	4,047,423	3,836,547	3,505,797	3,407,487	3,314,017	3,201,459	2,860,054	2,821,137	2,789,906	2,782,649	2,899,624	2,901,843	2,902,860	2,979,367
Property, plant and equipment	US$ in thousands	—	19,829,900	19,018,300	18,445,900	17,971,700	17,240,200	16,556,600	16,085,000	15,726,800	15,064,000	14,477,700	14,039,600	13,762,100	13,355,300	12,880,800	12,548,200	12,250,400	11,787,700	11,340,600	10,971,700
Fixed asset turnover		—	0.22	0.23	0.25	0.26	0.24	0.24	0.24	0.22	0.23	0.23	0.23	0.21	0.21	0.22	0.22	0.24	0.25	0.26	0.27

December 31, 2023 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $3,949,815K ÷ $—K
= —

The fixed asset turnover ratio of Atmos Energy Corp. has exhibited a decreasing trend over the past 8 quarters, indicating a decline in the company's efficiency in generating revenue from its fixed assets. The ratio has fluctuated between 0.19 and 0.26 during this period.

A fixed asset turnover ratio below 1 suggests that the company is generating less revenue relative to its investment in fixed assets. The downward trend in the ratio may indicate less effective utilization or underperformance of the company's fixed assets in generating revenue.

It would be advisable for Atmos Energy Corp. to investigate the reasons behind the declining fixed asset turnover and take necessary actions to improve the efficiency of its fixed asset utilization. This could include optimizing asset management strategies, enhancing operational efficiency, or evaluating the need for additional investments in fixed assets to drive revenue growth.