CDW Corp (CDW)
Fixed asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 20,998,700 | 21,376,000 | 23,748,700 | 20,820,800 | 18,467,500 |
| Property, plant and equipment | US$ in thousands | — | — | 188,800 | 351,400 | 175,500 |
| Fixed asset turnover | — | — | 125.79 | 59.25 | 105.23 |
December 31, 2024 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $20,998,700K ÷ $—K
= —
Fixed asset turnover is a financial ratio that measures a company's ability to generate revenue relative to its investment in fixed assets. Looking at the data provided for CDW Corp, we see that the fixed asset turnover has shown variability over the years.
In 2020, the fixed asset turnover was particularly high at 105.23, indicating that CDW Corp generated $105.23 in sales for every dollar invested in fixed assets during that year. This suggests efficient utilization of fixed assets to drive revenue.
The ratio decreased to 59.25 in 2021, signifying a decline in the efficiency of CDW Corp's fixed asset utilization in generating revenue. However, the ratio rebounded significantly in 2022 to 125.79, indicating a sharp improvement in efficiency and productivity in that year.
The absence of data for 2023 and 2024 makes it challenging to assess CDW Corp's fixed asset turnover performance in those years. It is important for the company to consistently monitor and manage its fixed asset turnover to ensure optimal utilization of assets and enhance overall operational efficiency.
Overall, while CDW Corp has experienced fluctuations in its fixed asset turnover, it is crucial for the company to strive for sustained improvement in this ratio to maximize revenue generation from its fixed asset base.
Peer comparison
Dec 31, 2024