Carter’s Inc (CRI)

Fixed asset turnover

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	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
Revenue (ttm)	US$ in thousands	2,844,020	2,811,464	2,843,417	2,878,969	2,911,867	2,964,819	2,990,695	3,070,682	3,150,547	3,294,716	3,361,194	3,420,196	3,425,819	3,353,810	3,345,468	3,133,951	2,993,623	3,120,152	3,196,123	3,409,921
Property, plant and equipment	US$ in thousands	180,956	182,292	181,659	182,513	183,111	180,888	178,100	180,383	189,822	181,575	186,778	197,515	216,004	218,828	231,944	248,799	262,345	274,574	287,941	303,919
Fixed asset turnover		15.72	15.42	15.65	15.77	15.90	16.39	16.79	17.02	16.60	18.15	18.00	17.32	15.86	15.33	14.42	12.60	11.41	11.36	11.10	11.22

December 31, 2024 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $2,844,020K ÷ $180,956K
= 15.72

Fixed asset turnover is a financial ratio that measures a company's efficiency in generating sales revenue from its investment in fixed assets. In the case of Carter’s Inc, the fixed asset turnover ratio has shown a steady increase over the past few years, indicating improved utilization of its fixed assets.

From March 31, 2020, to December 31, 2024, the fixed asset turnover ratio of Carter’s Inc increased from 11.22 to 15.72, with some fluctuations in between. This upward trend suggests that the company has been able to generate more sales from its investment in fixed assets over time.

The peak in the fixed asset turnover ratio recorded on June 30, 2022, at 18.00, indicates a particularly efficient use of fixed assets to generate revenue. However, there was a slight decline in the ratio in the following quarters.

Overall, the increasing trend in the fixed asset turnover ratio for Carter’s Inc reflects the company's ability to effectively utilize its fixed assets to drive sales growth and improve operational efficiency.