Biogen Inc (BIIB)

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	9,675,900	9,607,500	9,672,000	9,663,100	9,835,600	9,993,300	9,971,500	10,104,600	10,173,400	10,363,200	10,633,600	10,819,500	10,981,700	11,100,500	11,697,700	12,604,300	13,444,600	14,263,300	14,487,300	14,422,400
Property, plant and equipment	US$ in thousands	3,181,300	3,210,900	3,249,300	3,275,300	3,309,700	3,301,600	3,307,200	3,300,900	3,298,600	3,266,400	3,355,100	3,372,800	3,416,400	3,410,700	3,442,200	3,438,300	3,411,500	3,359,900	3,330,700	3,281,600
Fixed asset turnover		3.04	2.99	2.98	2.95	2.97	3.03	3.02	3.06	3.08	3.17	3.17	3.21	3.21	3.25	3.40	3.67	3.94	4.25	4.35	4.39

December 31, 2024 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $9,675,900K ÷ $3,181,300K
= 3.04

Biogen Inc's fixed asset turnover has shown a gradual decline over the period from March 31, 2020, to December 31, 2024. The ratio started at 4.39 in March 2020 and decreased to 3.04 by December 31, 2024. This indicates that the company generated $3.04 in revenue for every dollar invested in fixed assets by the end of December 2024.

The declining trend in fixed asset turnover could suggest inefficiencies in utilizing fixed assets to generate revenue. This may be a result of various factors such as underutilization of assets, increased depreciation, or lower sales compared to the investment in fixed assets.

It would be advisable for Biogen Inc to closely monitor and analyze the factors contributing to the decline in fixed asset turnover to ensure optimal utilization of assets and strive for improvements in operational efficiency.