Peabody Energy Corp (BTU)
Fixed asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 4,946,700 | 4,981,900 | 3,318,300 | 2,881,100 | 4,623,400 |
| Property, plant and equipment | US$ in thousands | 2,844,100 | 2,865,000 | 2,950,600 | 3,051,100 | 4,679,100 |
| Fixed asset turnover | 1.74 | 1.74 | 1.12 | 0.94 | 0.99 |
December 31, 2023 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $4,946,700K ÷ $2,844,100K
= 1.74
Peabody Energy Corp's fixed asset turnover ratio has shown a fluctuating trend over the past five years. The ratio was 0.99 in 2019, increased to 1.12 in 2021, and then remained stable at 1.74 in 2022 and 2023.
A fixed asset turnover ratio of 1.74 in 2023 indicates that for each dollar invested in fixed assets, Peabody Energy generated $1.74 in sales. This suggests an efficient utilization of fixed assets to generate revenue.
The improvement in the fixed asset turnover ratio from 2019 to 2023 demonstrates that the company has been more effective in utilizing its fixed assets to generate sales over the years. This could be a result of improved operational efficiency, better asset management practices, or increased productivity.
Overall, the trend in Peabody Energy Corp's fixed asset turnover ratio indicates a positive development in the company's ability to generate revenue from its investment in fixed assets.
Peer comparison
Dec 31, 2023