Bristol-Myers Squibb Company (BMY)
Fixed asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 45,006,000 | 46,159,000 | 46,385,000 | 42,518,000 | 26,145,000 |
| Property, plant and equipment | US$ in thousands | 6,646,000 | 6,255,000 | 6,049,000 | 5,886,000 | 6,252,000 |
| Fixed asset turnover | 6.77 | 7.38 | 7.67 | 7.22 | 4.18 |
December 31, 2023 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $45,006,000K ÷ $6,646,000K
= 6.77
Bristol-Myers Squibb Co.'s fixed asset turnover ratio has shown a consistent positive trend over the past five years, indicating the company's ability to generate revenue relative to its investment in fixed assets. The ratio has ranged from 4.18 in 2019 to 7.67 in 2021, peaking at 7.67 in 2021 before slightly declining to 6.77 in 2023.
A higher fixed asset turnover ratio suggests that the company is using its fixed assets more efficiently to generate sales. Bristol-Myers Squibb Co.'s ratios above 6 in recent years indicate that the company has been effectively managing and utilizing its fixed assets to generate revenue.
Overall, the trend in Bristol-Myers Squibb Co.'s fixed asset turnover ratio demonstrates a positive efficiency in using its fixed assets to generate sales over the years, with a minor fluctuation seen in 2023 compared to the peak in 2021.
Peer comparison
Dec 31, 2023