Broadcom Inc (AVGO)
Fixed asset turnover
| Feb 4, 2024 | Oct 29, 2023 | Jul 30, 2023 | Apr 30, 2023 | Jan 29, 2023 | Oct 30, 2022 | Jul 31, 2022 | May 1, 2022 | Jan 30, 2022 | Oct 31, 2021 | Aug 1, 2021 | May 2, 2021 | Jan 31, 2021 | Nov 1, 2020 | Aug 2, 2020 | May 3, 2020 | Feb 2, 2020 | Nov 3, 2019 | Aug 4, 2019 | May 5, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 38,865,000 | 35,819,000 | 35,454,000 | 35,042,000 | 34,412,000 | 33,203,000 | 31,680,000 | 29,994,000 | 28,501,000 | 27,450,000 | 26,510,000 | 25,553,000 | 24,685,000 | 23,888,000 | 23,197,000 | 22,891,000 | 22,666,000 | 22,597,000 | 22,265,000 | 21,813,000 |
| Property, plant and equipment | US$ in thousands | 2,662,000 | 2,154,000 | 2,180,000 | 2,209,000 | 2,201,000 | 2,223,000 | 2,250,000 | 2,262,000 | 2,303,000 | 2,348,000 | 2,370,000 | 2,416,000 | 2,496,000 | 2,509,000 | 2,567,000 | 2,618,000 | 2,616,000 | 2,565,000 | 2,611,000 | 2,654,000 |
| Fixed asset turnover | 14.60 | 16.63 | 16.26 | 15.86 | 15.63 | 14.94 | 14.08 | 13.26 | 12.38 | 11.69 | 11.19 | 10.58 | 9.89 | 9.52 | 9.04 | 8.74 | 8.66 | 8.81 | 8.53 | 8.22 |
February 4, 2024 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $38,865,000K ÷ $2,662,000K
= 14.60
Broadcom Inc's fixed asset turnover has shown a generally increasing trend over the past 20 periods, with values ranging from 8.22 to 16.63. This ratio indicates how well the company is generating revenue from its investment in fixed assets. A higher fixed asset turnover ratio suggests that the company is efficiently utilizing its fixed assets to generate sales.
The increasing trend in the fixed asset turnover ratio indicates that Broadcom Inc has been able to generate more revenue relative to its investment in fixed assets over time. This may imply improved operational efficiency, effective asset management, or increased sales volume.
However, it is essential to consider other factors such as industry benchmarks and company-specific circumstances when interpreting the fixed asset turnover ratio in isolation. Further analysis of Broadcom Inc's financial statements and operational performance can provide a more comprehensive view of the company's efficiency in utilizing its fixed assets.
Peer comparison
Feb 4, 2024