Best Buy Co. Inc (BBY)
Fixed asset turnover
| Feb 3, 2024 | Oct 28, 2023 | Jul 29, 2023 | Apr 29, 2023 | Jan 28, 2023 | Oct 29, 2022 | Jul 30, 2022 | Apr 30, 2022 | Jan 29, 2022 | Oct 30, 2021 | Jul 31, 2021 | May 1, 2021 | Jan 30, 2021 | Oct 31, 2020 | Aug 1, 2020 | May 2, 2020 | Feb 1, 2020 | Nov 2, 2019 | Aug 3, 2019 | May 4, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 43,452,000 | 43,541,000 | 44,372,000 | 45,118,000 | 46,298,000 | 47,928,000 | 49,251,000 | 50,771,000 | 51,761,000 | 52,333,000 | 52,276,000 | 50,337,000 | 47,262,000 | 45,521,000 | 43,432,000 | 43,058,000 | 43,638,000 | 43,243,000 | 43,069,000 | 42,912,000 |
| Property, plant and equipment | US$ in thousands | 2,260,000 | 2,313,000 | 2,305,000 | 2,321,000 | 2,352,000 | 2,373,000 | 2,319,000 | 2,251,000 | 2,250,000 | 2,256,000 | 2,226,000 | 2,233,000 | 2,260,000 | 2,265,000 | 2,277,000 | 2,291,000 | 2,328,000 | 2,359,000 | 2,361,000 | 2,334,000 |
| Fixed asset turnover | 19.23 | 18.82 | 19.25 | 19.44 | 19.68 | 20.20 | 21.24 | 22.55 | 23.00 | 23.20 | 23.48 | 22.54 | 20.91 | 20.10 | 19.07 | 18.79 | 18.74 | 18.33 | 18.24 | 18.39 |
February 3, 2024 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $43,452,000K ÷ $2,260,000K
= 19.23
The fixed asset turnover ratio of Best Buy Co. Inc has been relatively stable over the past few quarters, ranging between 18.24 and 23.48. This indicates that the company is efficient in generating sales revenue relative to the amount of fixed assets it owns. A higher fixed asset turnover ratio suggests that the company is effectively utilizing its fixed assets to generate sales.
The ratio has shown a slight fluctuation over time, with a peak of 23.48 in the third quarter of 2021 and a low of 18.24 in the first quarter of 2020. Generally, the trend has been positive, indicating that Best Buy has been improving its efficiency in utilizing its fixed assets to drive sales.
Overall, the consistent and relatively high fixed asset turnover ratio of Best Buy Co. Inc reflects the company's effective management of its fixed assets to generate revenue.