Buckle Inc (BKE)

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	1,261,102	1,280,525	1,309,409	1,318,957	1,345,187	1,324,311	1,311,402	1,304,546	1,294,607	1,232,512	1,164,085	1,084,990	901,278	853,446	826,562	814,354	900,254	893,663	884,649	881,912
Property, plant and equipment	US$ in thousands	128,837	124,068	119,260	116,061	112,402	109,613	106,433	103,288	100,504	99,284	99,687	100,035	100,415	102,297	106,079	110,069	113,848	117,761	122,131	126,873
Fixed asset turnover		9.79	10.32	10.98	11.36	11.97	12.08	12.32	12.63	12.88	12.41	11.68	10.85	8.98	8.34	7.79	7.40	7.91	7.59	7.24	6.95

February 3, 2024 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $1,261,102K ÷ $128,837K
= 9.79

Fixed asset turnover is a financial ratio that measures a company's efficiency in generating sales revenue from its investment in fixed assets. Buckle Inc's fixed asset turnover has shown an upward trend over the past several quarters, indicating improved efficiency in utilizing its fixed assets to generate sales. The ratio has consistently increased from 6.95 in May 2019 to 12.88 in Jan 2022, peaking at 12.88 in Jan 2022, before experiencing a slight decline in the most recent quarter to 9.79 in Feb 2024.

Overall, the company has maintained a relatively high fixed asset turnover, with values consistently above 7. This suggests that Buckle Inc has been effectively utilizing its fixed assets to drive sales growth. However, the recent decrease in the ratio may indicate a potential decrease in efficiency in generating sales from fixed assets. Further analysis and monitoring of this ratio in subsequent quarters will be important to assess whether this trend is temporary or indicative of a longer-term change in the company's asset utilization efficiency.