Salesforce.com Inc (CRM)

Fixed asset turnover

		Jan 31, 2025	Oct 31, 2024	Jul 31, 2024	Apr 30, 2024	Jan 31, 2024	Oct 31, 2023	Jul 31, 2023	Apr 30, 2023	Jan 31, 2023	Oct 31, 2022	Jul 31, 2022	Apr 30, 2022	Jan 31, 2022	Oct 31, 2021	Jul 31, 2021	Apr 30, 2021	Jan 31, 2021	Oct 31, 2020	Jul 31, 2020	Apr 30, 2020
Revenue (ttm)	US$ in thousands	38,014,000	37,212,000	36,503,000	35,816,000	34,869,000	33,714,000	32,766,000	31,966,000	31,213,000	30,389,000	30,006,000	29,252,000	28,129,000	26,979,000	24,988,000	23,197,000	22,027,000	20,756,000	19,969,000	18,704,000
Property, plant and equipment	US$ in thousands	2,424,000	3,416,000	3,580,000	3,506,000	2,635,000	3,807,000	3,876,000	3,695,000	2,913,000	3,514,000	3,375,000	2,868,000	2,415,000	2,768,000	2,711,000	2,490,000	2,459,000	2,564,000	2,528,000	2,518,000
Fixed asset turnover		15.68	10.89	10.20	10.22	13.23	8.86	8.45	8.65	10.72	8.65	8.89	10.20	11.65	9.75	9.22	9.32	8.96	8.10	7.90	7.43

January 31, 2025 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $38,014,000K ÷ $2,424,000K
= 15.68

The fixed asset turnover ratio of Salesforce.com Inc has shown a positive trend from April 30, 2020, at 7.43 to January 31, 2025, at 15.68. This indicates that the company efficiently utilizes its fixed assets to generate sales revenue. The ratio has generally been increasing over time, reaching its peak at the end of January 2025. Higher fixed asset turnover ratios suggest that Salesforce.com Inc is effectively managing its fixed assets to generate sales, which is a positive indicator for investors and creditors. However, the ratio fluctuates slightly in some quarters, indicating possible variations in asset utilization efficiency during those periods. Overall, the increasing trend in fixed asset turnover ratio reflects the company's ability to generate more sales relative to its investment in fixed assets, which is a favorable sign of operational efficiency and profitability.