Cytek Biosciences Inc (CTKB)
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 | ||
|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 193,014 | 183,117 | 175,594 | 166,060 | 164,036 | 155,086 | 148,985 | 139,234 |
| Property, plant and equipment | US$ in thousands | 18,405 | 17,415 | 15,588 | 15,549 | 13,682 | 7,844 | 7,340 | 6,504 |
| Fixed asset turnover | 10.49 | 10.51 | 11.26 | 10.68 | 11.99 | 19.77 | 20.30 | 21.41 |
December 31, 2023 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $193,014K ÷ $18,405K
= 10.49
Fixed asset turnover measures how efficiently a company is utilizing its fixed assets to generate sales. A higher fixed asset turnover ratio indicates that the company is generating more revenue per dollar invested in fixed assets.
Analyzing the trend of Cytek Biosciences Inc's fixed asset turnover ratio over the past few quarters reveals fluctuation in the efficiency of utilizing its fixed assets. The company experienced a significant decrease in fixed asset turnover from 21.41 in Q1 2022 to 10.49 in Q4 2023. This may suggest that Cytek Biosciences Inc's fixed assets are not generating as much revenue relative to the investment in those assets, which could potentially be a cause for concern.
In general, a declining fixed asset turnover ratio could imply inefficiencies in managing and utilizing fixed assets, leading to lower revenue generation. It would be beneficial for the company to investigate the reasons behind the drop in the ratio and take appropriate actions to improve asset utilization efficiency in order to enhance overall profitability and operational performance.
Peer comparison
Dec 31, 2023