Boise Cascad Llc (BCC)
Fixed asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 6,813,040 | 8,360,740 | 7,901,580 | 5,435,140 | 4,643,400 |
| Property, plant and equipment | US$ in thousands | 932,633 | 770,023 | 495,240 | 461,456 | 476,949 |
| Fixed asset turnover | 7.31 | 10.86 | 15.96 | 11.78 | 9.74 |
December 31, 2023 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $6,813,040K ÷ $932,633K
= 7.31
Boise Cascade Co's fixed asset turnover has shown fluctuations over the past five years, ranging from 7.33 in 2023 to 16.00 in 2021. The fixed asset turnover ratio measures how efficiently the company generates sales from its fixed assets.
A higher fixed asset turnover ratio indicates that the company is more efficient in utilizing its fixed assets to generate sales. Boise Cascade Co's fixed asset turnover was highest in 2021 at 16.00, suggesting that the company generated $16 in sales for every $1 of fixed assets invested.
However, it decreased to 7.33 in 2023, indicating a decrease in the efficiency of utilizing fixed assets to generate sales compared to the previous years. It is essential for the company to analyze the reasons behind this decrease and take appropriate measures to improve its asset utilization efficiency in the future.
Overall, Boise Cascade Co's fixed asset turnover has shown variability, and it is crucial for the company to monitor this ratio closely to ensure optimal utilization of its fixed assets for generating sales.
Peer comparison
Dec 31, 2023