Booking Holdings Inc (BKNG)
Fixed asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 21,365,000 | 17,090,000 | 10,958,000 | 6,796,000 | 15,066,000 |
| Property, plant and equipment | US$ in thousands | 784,000 | 669,000 | 822,000 | 756,000 | 738,000 |
| Fixed asset turnover | 27.25 | 25.55 | 13.33 | 8.99 | 20.41 |
December 31, 2023 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $21,365,000K ÷ $784,000K
= 27.25
Booking Holdings Inc's fixed asset turnover has shown a fluctuating trend over the past five years. The ratio has significantly improved from 8.99 in 2020 to 27.25 in 2023, indicating a substantial increase in revenue generated per dollar of fixed assets invested. This suggests an enhanced efficiency in utilizing fixed assets to generate sales.
The peak in 2023 reflects the company's ability to generate more revenue relative to its investment in fixed assets compared to the previous years. The ratio was relatively high in 2019 as well, at 20.41, suggesting that the company had a strong performance in utilizing its fixed assets efficiently.
While the ratio dropped to 13.33 in 2021, it rebounded in 2022 and reached a new high in 2023. Overall, the upward trend in fixed asset turnover over the years indicates an improvement in the company's operational efficiency and potentially better management of its fixed assets to drive revenue generation.
Peer comparison
Dec 31, 2023