Benchmark Electronics Inc (BHE)
Fixed asset turnover
Dec 31, 2024 | Sep 30, 2024 | 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 | ||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Revenue (ttm) | US$ in thousands | 2,656,105 | 2,690,572 | 2,752,520 | 2,819,856 | 2,838,976 | 2,898,266 | 2,950,146 | 2,944,943 | 2,886,331 | 2,768,741 | 2,569,048 | 2,385,681 | 2,255,319 | 2,143,515 | 2,097,584 | 2,043,888 | 2,053,131 | 2,040,325 | 2,069,603 | 2,180,239 |
Property, plant and equipment | US$ in thousands | 225,097 | 224,164 | 225,888 | 223,992 | 227,698 | 231,661 | 222,245 | 221,016 | 211,478 | 204,154 | 198,497 | 190,526 | 186,666 | 188,858 | 188,318 | 183,294 | 185,272 | 190,610 | 198,001 | 201,580 |
Fixed asset turnover | 11.80 | 12.00 | 12.19 | 12.59 | 12.47 | 12.51 | 13.27 | 13.32 | 13.65 | 13.56 | 12.94 | 12.52 | 12.08 | 11.35 | 11.14 | 11.15 | 11.08 | 10.70 | 10.45 | 10.82 |
December 31, 2024 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $2,656,105K ÷ $225,097K
= 11.80
The fixed asset turnover ratio measures how efficiently a company is utilizing its fixed assets to generate revenue. In the case of Benchmark Electronics Inc, the trend in the fixed asset turnover ratio has been generally increasing over the period from March 31, 2020, to December 31, 2024.
The fixed asset turnover ratio for Benchmark Electronics Inc started at 10.82 on March 31, 2020, and steadily increased to a peak of 13.65 on December 31, 2022. This indicates that the company was generating $13.65 in sales revenue for every dollar invested in fixed assets at that point.
However, the ratio started to decline slightly after December 31, 2022, with some fluctuations observed in the subsequent periods. The ratio decreased to 11.80 on December 31, 2024. While the decline may suggest a potential inefficiency in utilizing fixed assets to generate revenue, it is important to consider other factors such as changes in the company's business strategy, capital investments, or operational challenges that could impact the ratio.
Overall, the increasing trend in Benchmark Electronics Inc's fixed asset turnover ratio from 2020 to 2022 indicates improved efficiency in the utilization of fixed assets. Further monitoring of the ratio and its underlying drivers will be essential to assess the company's operational performance and asset productivity in the future.
Peer comparison
Dec 31, 2024