CNX Resources Corp (CNX)

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	3,434,953	4,103,016	3,869,571	3,450,289	2,987,605	2,641,965	3,151,913	3,143,144	2,802,921	2,138,434	1,577,500	1,314,692	1,257,978	1,136,022	1,599,944	2,056,135	1,918,207	1,845,120	1,708,346	1,496,904
Property, plant and equipment	US$ in thousands	7,342,630	7,308,650	7,239,830	7,185,940	7,096,510	7,033,640	7,012,720	6,996,120	6,989,480	6,960,320	7,008,640	7,019,760	7,025,540	7,063,140	7,083,800	7,069,100	7,136,580	7,530,580	7,339,860	7,093,520
Fixed asset turnover		0.47	0.56	0.53	0.48	0.42	0.38	0.45	0.45	0.40	0.31	0.23	0.19	0.18	0.16	0.23	0.29	0.27	0.25	0.23	0.21

December 31, 2023 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $3,434,953K ÷ $7,342,630K
= 0.47

Fixed asset turnover is a financial ratio that measures the efficiency of a company in generating sales from its fixed assets. A higher fixed asset turnover ratio indicates that the company is effectively utilizing its fixed assets to generate revenue.

In the case of CNX Resources Corp, the fixed asset turnover ratio fluctuated over the past eight quarters. The ratio ranged from a low of 0.27 in Q3 2023 to a high of 0.56 in Q3 2022. This indicates some variability in how efficiently the company is utilizing its fixed assets to generate sales.

It is important to note that a fixed asset turnover ratio below 1 suggests that the company is not generating enough sales in proportion to its investment in fixed assets. CNX's fixed asset turnover ratios mostly fall below 1, with the highest ratio of 0.56 achieved in Q3 2022.

Overall, the trend in CNX Resources Corp's fixed asset turnover ratio suggests that the company may need to focus on optimizing the utilization of its fixed assets to improve its sales generation efficiency in the future.