BJs Wholesale Club Holdings Inc (BJ)

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	19,910,280	19,502,780	19,363,380	19,503,660	19,276,660	18,700,940	18,178,720	17,247,210	16,616,830	16,247,780	15,716,350	15,498,170	15,430,010	14,955,720	14,453,450	13,845,160	13,190,700	13,135,260	13,127,520	13,088,780
Property, plant and equipment	US$ in thousands	1,578,790	1,495,910	1,428,580	1,364,820	1,337,030	1,296,150	1,232,100	989,658	942,331	880,904	841,521	815,303	797,789	769,258	755,678	753,297	760,208	775,659	750,716	728,762
Fixed asset turnover		12.61	13.04	13.55	14.29	14.42	14.43	14.75	17.43	17.63	18.44	18.68	19.01	19.34	19.44	19.13	18.38	17.35	16.93	17.49	17.96

February 3, 2024 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $19,910,280K ÷ $1,578,790K
= 12.61

The fixed asset turnover ratio for BJs Wholesale Club Holdings Inc has shown a generally increasing trend over the past few quarters. The ratio has consistently improved from 12.61 in February 2020 to 17.96 in May 2019 before slightly declining to 16.93 in November 2019. Thereafter, the ratio has steadily increased to reach a peak of 19.44 in January 2021.

This indicates that the company is becoming more efficient in generating sales revenue relative to its investment in fixed assets. A higher fixed asset turnover ratio is generally favorable as it suggests that the company is effectively utilizing its fixed assets to generate sales.

The gradual increase in the fixed asset turnover ratio over the periods analyzed reflects improved asset management efficiency within BJs Wholesale Club Holdings Inc. This trend may signal enhanced operational performance and strategic utilization of fixed assets to drive revenue growth for the company.