Entegris Inc (ENTG)
Fixed asset turnover
| Dec 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 3,241,208 | 3,203,662 | 3,284,207 | 3,372,555 | 3,523,926 | 3,657,705 | 3,763,294 | 3,554,783 | 3,282,033 | 2,971,167 | 2,556,832 | 2,435,695 | 2,298,893 | 2,181,283 | 2,082,777 | 1,959,830 | 1,859,313 | 1,768,717 | 1,681,877 | 1,612,346 |
| Property, plant and equipment | US$ in thousands | 1,622,930 | 1,542,360 | 1,495,100 | 1,473,810 | 1,468,040 | 1,406,360 | 1,364,760 | 1,464,420 | 1,393,340 | 1,383,690 | 779,631 | 698,574 | 654,098 | 597,630 | 563,258 | 542,605 | 525,367 | 490,298 | 475,202 | 474,841 |
| Fixed asset turnover | 2.00 | 2.08 | 2.20 | 2.29 | 2.40 | 2.60 | 2.76 | 2.43 | 2.36 | 2.15 | 3.28 | 3.49 | 3.51 | 3.65 | 3.70 | 3.61 | 3.54 | 3.61 | 3.54 | 3.40 |
December 31, 2024 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $3,241,208K ÷ $1,622,930K
= 2.00
Entegris Inc's fixed asset turnover ratio, which measures how efficiently the company generates revenue from its investment in fixed assets, displays fluctuations over the period from March 31, 2020, to December 31, 2024. The ratio started at 3.40 in March 2020 and generally increased steadily, peaking at 3.70 in June 2021. This upward trend indicates that Entegris was effectively utilizing its fixed assets to generate sales during this period.
However, from September 2021 onwards, the fixed asset turnover ratio began to decrease, reaching a low of 2.00 in December 2024. This declining trend suggests a potential decrease in efficiency in utilizing fixed assets to generate revenue. A lower fixed asset turnover ratio could signify overinvestment in fixed assets, underutilization of assets, or a decline in sales relative to the value of fixed assets.
Further analysis and comparison with industry peers would be beneficial to determine the reasons behind the fluctuations in Entegris' fixed asset turnover ratio and to evaluate the company's overall asset management efficiency.
Peer comparison
Dec 31, 2024