Deckers Outdoor Corporation (DECK)
Fixed asset turnover
| Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | Mar 31, 2021 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 4,287,760 | 3,627,060 | 3,150,340 | 2,545,640 | 2,132,690 |
| Property, plant and equipment | US$ in thousands | 302,122 | 266,679 | 222,449 | 206,210 | 209,037 |
| Fixed asset turnover | 14.19 | 13.60 | 14.16 | 12.34 | 10.20 |
March 31, 2024 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $4,287,760K ÷ $302,122K
= 14.19
Deckers Outdoor Corporation's fixed asset turnover ratio has shown a consistent upward trend over the past five years, indicating an improvement in the company's efficiency in generating revenue from its investment in fixed assets. The ratio increased from 10.20 in March 2020 to 14.19 in March 2024, reflecting a strong performance in utilizing its fixed assets to generate sales.
A higher fixed asset turnover ratio suggests that Deckers Outdoor Corporation is effectively using its fixed assets to generate sales revenue. This can be attributed to factors such as effective asset management, improved operational efficiency, and better utilization of resources.
The steady improvement in the fixed asset turnover ratio over the years is a positive sign for the company's management and investors, as it indicates increasing productivity and profitability. It implies that Deckers Outdoor Corporation is making efficient use of its fixed assets to drive sales growth and generate higher returns.
Overall, the trend in Deckers Outdoor Corporation's fixed asset turnover ratio demonstrates a strong performance in optimizing its fixed asset base to generate revenue, which is a key indicator of operational efficiency and financial strength.
Peer comparison
Mar 31, 2024