Envestnet Inc (ENV)

Fixed asset turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Revenue	US$ in thousands	1,221,030	1,231,540	1,170,410	967,838	870,954
Property, plant and equipment	US$ in thousands	48,223	62,443	50,215	47,969	53,756
Fixed asset turnover		25.32	19.72	23.31	20.18	16.20

December 31, 2023 calculation

Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $1,221,030K ÷ $48,223K
= 25.32

Fixed asset turnover is a financial ratio that measures the efficiency of a company in generating sales revenue from its fixed assets. It indicates how well the company is utilizing its fixed assets to generate revenue.

Envestnet Inc.'s fixed asset turnover has shown an increasing trend over the past five years, with values of 16.74 in 2019, 20.81 in 2020, 23.63 in 2021, 19.85 in 2022, and 25.83 in 2023. This suggests that the company has been able to generate more revenue per dollar invested in fixed assets over time.

The significant increase in fixed asset turnover from 2022 to 2023 indicates a notable improvement in the company's efficiency in utilizing its fixed assets to generate sales. This could be attributed to various factors such as operational improvements, asset optimization, or increased sales volume.

Overall, the rising trend in fixed asset turnover for Envestnet Inc. implies that the company has been effectively managing its fixed assets to drive sales growth and improve operational efficiency. However, it is essential to consider other factors and analyze the company's financial performance comprehensively to gain a more holistic understanding of its operations and profitability.