AZZ Incorporated (AZZ)
Fixed asset turnover
| Feb 28, 2025 | Feb 29, 2024 | Feb 28, 2023 | Feb 28, 2022 | Feb 28, 2021 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 1,577,740 | 1,537,590 | 1,323,650 | 902,664 | 838,917 |
| Property, plant and equipment | US$ in thousands | — | — | 498,503 | 230,848 | 205,909 |
| Fixed asset turnover | — | — | 2.66 | 3.91 | 4.07 |
February 28, 2025 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $1,577,740K ÷ $—K
= —
The fixed asset turnover ratio measures how efficiently a company is utilizing its fixed assets to generate sales. For AZZ Incorporated, the fixed asset turnover has been decreasing over the years, from 4.07 in February 28, 2021, to 3.91 in February 28, 2022, and further down to 2.66 in February 28, 2023.
A higher fixed asset turnover ratio indicates that the company is generating more sales relative to its investment in fixed assets. The decreasing trend in AZZ Incorporated's fixed asset turnover may suggest potential concerns regarding the company's asset utilization efficiency, as it indicates a decline in sales generated per dollar of fixed assets.
The absence of data for February 29, 2024, and February 28, 2025, makes it challenging to assess the trend accurately for those years. However, monitoring the fixed asset turnover ratio will be crucial for evaluating the company's operational performance and efficiency in utilizing fixed assets effectively to drive revenue generation.
Peer comparison
Feb 28, 2025