Delta Air Lines Inc (DAL)

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	58,180,000	57,151,000	56,332,000	54,746,000	52,914,000	49,453,000	45,408,000	40,372,000	33,646,000	28,386,000	22,842,000	16,956,000	11,442,000	16,166,000	23,997,000	33,716,000	44,903,000	46,779,000	46,082,000	45,545,000
Property, plant and equipment	US$ in thousands	35,915,000	34,148,000	34,593,000	34,092,000	33,249,000	31,622,000	31,512,000	30,519,000	30,042,000	27,153,000	27,816,000	27,508,000	26,862,000	25,527,000	26,600,000	28,500,000	31,600,000	30,248,000	30,796,000	30,165,000
Fixed asset turnover		1.62	1.67	1.63	1.61	1.59	1.56	1.44	1.32	1.12	1.05	0.82	0.62	0.43	0.63	0.90	1.18	1.42	1.55	1.50	1.51

March 31, 2024 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $58,180,000K ÷ $35,915,000K
= 1.62

Delta Air Lines Inc has shown variability in its fixed asset turnover ratio over the past several quarters. The fixed asset turnover ratio measures how efficiently the company is using its fixed assets to generate revenue.

The trend in Delta Air Lines Inc's fixed asset turnover ratio shows improvement starting from the third quarter of 2021 through the first quarter of 2023, peaking at 1.67 in December 2023. This indicates that the company was able to generate $1.67 in revenue for every dollar invested in fixed assets at that time.

However, the ratio decreased in the first quarter of 2024 to 1.62, suggesting a slight decline in efficiency in utilizing fixed assets to generate revenue compared to the previous quarter. Overall, Delta Air Lines Inc has maintained relatively healthy fixed asset turnover ratios above 1.0, indicating that the company is effectively utilizing its fixed assets to generate revenue, although there have been fluctuations over the periods examined. Additional analysis and comparison with industry benchmarks could provide further insights into the company's efficiency in asset utilization.