The Ensign Group Inc (ENSG)
Fixed asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 3,721,290 | 3,025,470 | 2,627,460 | 2,402,600 | 2,029,210 |
| Property, plant and equipment | US$ in thousands | 1,090,770 | 992,010 | 888,434 | 778,244 | 767,565 |
| Fixed asset turnover | 3.41 | 3.05 | 2.96 | 3.09 | 2.64 |
December 31, 2023 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $3,721,290K ÷ $1,090,770K
= 3.41
Ensign Group Inc's fixed asset turnover has shown a steady increase from 2019 to 2023. The ratio measures the company's ability to generate sales revenue from its investment in fixed assets.
In 2019, the fixed asset turnover was 2.65, indicating that for every dollar invested in fixed assets, the company generated $2.65 in sales. This ratio improved to 3.09 in 2020, suggesting more efficient utilization of fixed assets to generate sales revenue.
The trend continued in the following years, with fixed asset turnover reaching 2.96 in 2021 and further increasing to 3.05 in 2022. This indicates that the company improved its efficiency in generating sales from its investment in fixed assets.
By the end of 2023, Ensign Group Inc achieved a fixed asset turnover of 3.42, reflecting a strong performance in efficiently utilizing its fixed assets to generate sales revenue. Overall, the increasing trend in fixed asset turnover suggests that the company has been effectively managing and utilizing its fixed assets to drive revenue growth over the years.
Peer comparison
Dec 31, 2023