Walt Disney Company (DIS)

Fixed asset turnover

		Sep 30, 2024	Jun 30, 2024	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
Revenue (ttm)	US$ in thousands	91,361,000	90,028,000	89,203,000	88,935,000	88,898,000	87,807,000	86,981,000	84,415,000	82,722,000	81,106,000	76,624,000	72,988,000	67,418,000	63,591,000	58,348,000	60,760,000	65,388,000	69,799,000	78,282,000	75,181,000
Property, plant and equipment	US$ in thousands	37,041,000	36,041,000	35,525,000	35,321,000	34,941,000	34,577,000	34,579,000	34,200,000	33,596,000	33,583,000	32,917,000	32,681,000	32,624,000	32,377,000	32,137,000	32,263,000	32,078,000	31,891,000	32,151,000	31,895,000
Fixed asset turnover		2.47	2.50	2.51	2.52	2.54	2.54	2.52	2.47	2.46	2.42	2.33	2.23	2.07	1.96	1.82	1.88	2.04	2.19	2.43	2.36

September 30, 2024 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $91,361,000K ÷ $37,041,000K
= 2.47

The fixed asset turnover ratio for Walt Disney Company has shown a general increasing trend over the past few years, indicating that the company has been more efficient in generating revenue from its fixed assets. The ratio stood at 2.47 as of September 30, 2024, compared to 2.36 at the end of December 2019. This improvement suggests that the company has been able to make better use of its investment in fixed assets to drive sales.

It is important to note that the fixed asset turnover ratio may vary from quarter to quarter, but the overall upward trend indicates positive performance in utilizing fixed assets to generate revenue. This trend could be attributed to various factors such as operational efficiencies, effective asset management, and strategic investments in fixed assets.

Overall, a higher fixed asset turnover ratio is generally seen as favorable as it signifies that the company is effectively utilizing its fixed assets to generate sales. Walt Disney Company's improving fixed asset turnover ratio reflects its ability to efficiently generate revenue from its investment in fixed assets, which is a positive indicator of its operational efficiency and financial performance.