Avantor Inc (AVTR)

Fixed asset turnover

		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	Dec 31, 2019	Sep 30, 2019
Revenue (ttm)	US$ in thousands	6,825,600	6,866,700	6,967,200	7,039,400	7,175,700	7,342,300	7,512,400	7,625,000	7,602,800	7,550,900	7,386,100	7,269,400	7,040,100	6,660,200	6,393,600	6,126,700	6,025,500	6,079,200
Property, plant and equipment	US$ in thousands	753,800	739,700	737,500	698,300	698,200	736,500	727,000	698,200	698,100	699,900	705,500	682,700	652,600	537,400	549,900	552,500	551,800	556,000	557,000	559,400
Fixed asset turnover		9.05	9.28	9.45	10.08	10.28	9.97	10.33	10.92	10.89	10.79	10.47	10.65	10.79	12.39	11.63	11.09	10.92	10.93

June 30, 2024 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $6,825,600K ÷ $753,800K
= 9.05

The fixed asset turnover ratio for Avantor Inc has been consistently strong over the past few quarters, ranging from 9.05 to 12.39. This ratio indicates the company's ability to generate sales revenue relative to its investment in fixed assets.

A higher fixed asset turnover ratio suggests that Avantor is efficiently utilizing its fixed assets to generate sales. This efficiency can be attributed to effective management of assets, operational efficiency, and strong sales performance. The trend of increasing ratios over time indicates improving efficiency in utilizing fixed assets to drive revenue growth.

Overall, Avantor Inc's solid fixed asset turnover ratios reflect a healthy operational performance and effective asset management, which are positive indicators of the company's financial health and profitability.