Deere & Company (DE)
Fixed asset turnover
| Jan 28, 2024 | Oct 29, 2023 | Jul 30, 2023 | Apr 30, 2023 | Jan 29, 2023 | Oct 30, 2022 | Jul 31, 2022 | May 1, 2022 | Jan 30, 2022 | Oct 31, 2021 | Aug 1, 2021 | May 2, 2021 | Jan 31, 2021 | Nov 1, 2020 | Aug 2, 2020 | May 3, 2020 | Feb 2, 2020 | Nov 3, 2019 | Jul 28, 2019 | Apr 28, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 60,785,000 | 61,252,000 | 61,376,000 | 59,677,000 | 55,660,000 | 52,577,000 | 48,368,000 | 45,793,000 | 44,481,000 | 44,024,000 | 42,428,000 | 39,826,000 | 37,021,000 | 35,540,000 | 35,705,000 | 36,816,000 | 38,905,000 | 39,258,000 | 38,778,000 | 39,051,000 |
| Property, plant and equipment | US$ in thousands | 6,751,000 | 6,917,000 | 6,709,000 | 6,524,000 | 6,502,000 | 6,623,000 | 6,554,000 | 6,465,000 | 6,624,000 | 8,314,000 | 6,982,000 | 7,108,000 | -1,346,000 | -1,544,000 | 5,698,000 | 5,685,000 | 5,900,000 | 5,973,000 | 5,798,000 | 5,757,000 |
| Fixed asset turnover | 9.00 | 8.86 | 9.15 | 9.15 | 8.56 | 7.94 | 7.38 | 7.08 | 6.72 | 5.30 | 6.08 | 5.60 | — | — | 6.27 | 6.48 | 6.59 | 6.57 | 6.69 | 6.78 |
January 28, 2024 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $60,785,000K ÷ $6,751,000K
= 9.00
The fixed asset turnover ratio measures how efficiently a company is using its fixed assets to generate sales revenue. A higher fixed asset turnover ratio indicates that the company is effectively utilizing its assets to generate revenue.
In the case of Deere & Co., the fixed asset turnover ratio has been relatively stable over the past quarters, ranging from 3.76 to 4.68. This indicates that Deere & Co. has been consistently efficient in generating revenue using its fixed assets during these periods.
The higher fixed asset turnover ratios of around 4.45 to 4.68 in the latest quarters suggest that Deere & Co. has been able to generate significant sales revenue relative to its investment in fixed assets. This indicates efficient management of its fixed assets and the ability to effectively utilize these assets to drive revenue growth.
Overall, the consistent and relatively high fixed asset turnover ratios of Deere & Co. reflect a strong operational performance and efficient utilization of its fixed assets in generating revenue over the analyzed periods.
Peer comparison
Jan 28, 2024