Copart Inc (CPRT)
Fixed asset turnover
| Jul 31, 2024 | Jul 31, 2023 | Jul 31, 2022 | Jul 31, 2021 | Jul 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 4,256,810 | 3,956,090 | 3,481,860 | 2,689,660 | 2,205,580 |
| Property, plant and equipment | US$ in thousands | 3,175,840 | 2,844,340 | 2,485,760 | 2,296,620 | 1,941,720 |
| Fixed asset turnover | 1.34 | 1.39 | 1.40 | 1.17 | 1.14 |
July 31, 2024 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $4,256,810K ÷ $3,175,840K
= 1.34
The fixed asset turnover ratio measures how efficiently Copart Inc generates revenue from its fixed assets. A higher fixed asset turnover ratio indicates better utilization of fixed assets to generate sales.
Over the past five years, Copart Inc's fixed asset turnover ratio has fluctuated. In 2024, Copart Inc had a fixed asset turnover of 1.34, which indicates that for every dollar invested in fixed assets, the company generated $1.34 in revenue. This was slightly lower than in 2023 when the ratio was 1.39, suggesting a slight decrease in the efficiency of utilizing fixed assets to generate sales.
Comparing 2024 to previous years, the company's fixed asset turnover ratio was relatively strong compared to 2020 and 2021 when it was 1.14 and 1.17 respectively. However, it was slightly lower than in 2022 when the ratio was 1.40, indicating a decrease in efficiency from the prior year.
Overall, Copart Inc has demonstrated a fairly consistent ability to generate revenue from its fixed assets over the past five years, with some fluctuations in efficiency. Continued monitoring of this ratio will be important to assess the company's ongoing utilization of fixed assets to drive sales growth.
Peer comparison
Jul 31, 2024