Cavco Industries Inc (CVCO)
Fixed asset turnover
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 1,794,792 | 1,851,054 | 1,904,888 | 2,030,250 | 2,142,713 | 2,171,812 | 2,102,923 | 1,885,074 | 1,627,158 | 1,428,181 | 1,285,239 | 1,183,672 | 1,108,051 | 1,056,884 | 1,041,834 | 1,052,533 | 1,061,774 | 1,047,552 | 1,007,530 | 980,385 |
| Property, plant and equipment | US$ in thousands | 224,199 | 224,216 | 223,664 | 223,663 | 228,278 | 194,329 | 189,968 | 185,534 | 164,016 | 157,990 | 156,397 | 97,981 | 96,794 | 78,493 | 77,836 | 77,326 | 77,190 | 71,407 | 70,199 | 64,376 |
| Fixed asset turnover | 8.01 | 8.26 | 8.52 | 9.08 | 9.39 | 11.18 | 11.07 | 10.16 | 9.92 | 9.04 | 8.22 | 12.08 | 11.45 | 13.46 | 13.38 | 13.61 | 13.76 | 14.67 | 14.35 | 15.23 |
March 31, 2024 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $1,794,792K ÷ $224,199K
= 8.01
Fixed asset turnover measures how efficiently Cavco Industries Inc is utilizing its fixed assets to generate sales revenue. The trend in fixed asset turnover shows an overall increasing pattern from 2019 to 2023, indicating improvement in the company's ability to generate sales from its fixed assets.
The ratio has been consistently above 8.0, with occasional fluctuations, suggesting that the company is effectively generating sales relative to the value of its fixed assets. The highest fixed asset turnover was observed in the most recent quarter, March 31, 2024, at 8.01, indicating that Cavco Industries Inc generated $8.01 in sales for every dollar invested in fixed assets during that period.
Overall, the trend of increasing fixed asset turnover over the years reflects positively on Cavco Industries Inc's operational efficiency and effectiveness in utilizing its fixed assets to drive revenue generation.