Dorman Products Inc (DORM)
Fixed asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 2,009,200 | 1,929,790 | 1,733,750 | 1,345,250 | 1,092,750 |
| Property, plant and equipment | US$ in thousands | — | — | 148,477 | 173,893 | 91,009 |
| Fixed asset turnover | — | — | 11.68 | 7.74 | 12.01 |
December 31, 2024 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $2,009,200K ÷ $—K
= —
Dorman Products Inc's fixed asset turnover has shown fluctuations over the years. In 2020, the company had a fixed asset turnover of 12.01, indicating that it generated $12.01 in sales for every dollar invested in fixed assets. This high turnover ratio could suggest efficient utilization of fixed assets to generate revenue.
However, in 2021, the fixed asset turnover decreased to 7.74, signifying a decline in efficiency in converting fixed assets into sales revenue. This drop could be a red flag, indicating potential inefficiencies in asset management or declining sales relative to fixed asset investments.
The ratio bounced back in 2022 to 11.68, showing improved efficiency in generating sales from fixed assets compared to the previous year. This rebound might indicate better management of fixed assets or increased sales volume during that period.
Unfortunately, data for 2023 and 2024 is not available, making it challenging to provide a complete trend analysis for those years. The absence of these figures could hinder a comprehensive assessment of the company's performance and efficiency in utilizing fixed assets during these periods.
In conclusion, while Dorman Products Inc's fixed asset turnover has shown variability, it is crucial for the company to monitor and potentially improve this ratio to ensure optimal utilization of fixed assets and maximize profitability.
Peer comparison
Dec 31, 2024