Eastman Chemical Company (EMN)
Fixed asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 9,210,000 | 10,580,000 | 10,476,000 | 8,473,000 | 9,273,000 |
| Property, plant and equipment | US$ in thousands | 5,548,000 | 5,160,000 | 4,996,000 | 5,549,000 | 5,571,000 |
| Fixed asset turnover | 1.66 | 2.05 | 2.10 | 1.53 | 1.66 |
December 31, 2023 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $9,210,000K ÷ $5,548,000K
= 1.66
Eastman Chemical Co's fixed asset turnover has displayed fluctuations over the past five years. The ratio decreased from 2.10 in 2021 to 1.53 in 2020 before rebounding to 2.05 in 2022 and then to 1.66 in 2023. This indicates that the company generated $1.66 in revenue for every dollar invested in fixed assets in 2023. While the ratio decreased from the previous year, it remains relatively stable compared to the five-year period. The fluctuations in fixed asset turnover suggest varying efficiency levels in utilizing fixed assets to generate revenue. Further analysis of operational efficiency and asset utilization may provide insights into the factors driving these fluctuations.
Peer comparison
Dec 31, 2023