CSG Systems International Inc (CSGS)

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	1,169,541	1,161,418	1,147,858	1,123,699	1,089,401	1,074,926	1,064,033	1,056,215	1,044,162	1,029,599	1,011,292	997,263	990,533	984,793	992,099	997,634	996,810	989,330	950,971	918,148
Property, plant and equipment	US$ in thousands	65,545	68,029	70,457	68,648	71,787	71,856	75,676	70,803	73,580	76,725	81,261	81,944	81,759	83,199	84,689	80,754	84,429	84,230	84,354	85,895
Fixed asset turnover		17.84	17.07	16.29	16.37	15.18	14.96	14.06	14.92	14.19	13.42	12.44	12.17	12.12	11.84	11.71	12.35	11.81	11.75	11.27	10.69

December 31, 2023 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $1,169,541K ÷ $65,545K
= 17.84

The fixed asset turnover ratio measures how efficiently a company is utilizing its fixed assets to generate revenue. Higher fixed asset turnover ratios indicate that a company is generating more revenue per dollar of investment in fixed assets.

Based on the data provided for CSG Systems International Inc., we can see a consistent increase in the fixed asset turnover ratio over the past eight quarters. This improvement suggests that the company has been more effective in utilizing its fixed assets to generate revenue.

The fixed asset turnover ratio has increased from 14.07 in Q2 2022 to 17.84 in Q4 2023, indicating a positive trend in asset utilization efficiency. This could be attributed to various factors, such as improved operational efficiency, better asset management, or increased sales volumes.

Overall, the trend of increasing fixed asset turnover ratios for CSG Systems International Inc. indicates that the company is effectively leveraging its fixed assets to generate revenue, which is a positive indicator of operational efficiency and financial performance.