Topbuild Corp (BLD)

Fixed asset turnover

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Revenue (ttm)	US$ in thousands	5,120,910	5,099,790	5,078,940	5,041,270	4,951,870	4,757,590	4,311,639	3,878,974	3,443,847	3,112,824	2,961,908	2,771,414	2,692,863	2,633,725	2,617,128	2,629,892	2,595,201	2,572,399	2,546,712	2,502,046
Property, plant and equipment	US$ in thousands	258,909	264,581	258,746	260,146	246,837	248,623	242,194	239,280	234,831	203,530	199,982	187,033	180,053	172,099	176,179	185,575	178,080	175,274	172,719	169,891
Fixed asset turnover		19.78	19.27	19.63	19.38	20.06	19.14	17.80	16.21	14.67	15.29	14.81	14.82	14.96	15.30	14.85	14.17	14.57	14.68	14.74	14.73

December 31, 2023 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $5,120,910K ÷ $258,909K
= 19.78

The fixed asset turnover ratio measures how efficiently a company generates sales revenue from its investment in fixed assets. A higher fixed asset turnover indicates that the company is utilizing its fixed assets more effectively to generate sales.

Based on the data provided for TopBuild Corp from Q1 2022 to Q4 2023, the fixed asset turnover ratio has been consistently high, ranging from 15.75 to 19.90. This indicates that TopBuild Corp is efficient in generating sales revenue relative to its investment in fixed assets during this period.

The trend shows a slight fluctuation in the fixed asset turnover ratio, with a peak in Q2 2023 at 19.90 and a low in Q1 2022 at 15.75. However, overall, the company has maintained a relatively high level of efficiency in utilizing its fixed assets to drive sales.

Investors and analysts may view TopBuild Corp positively based on its consistently high fixed asset turnover ratio, reflecting efficient operations and effective utilization of fixed assets to generate revenue.