Enerpac Tool Group Corp (EPAC)
Fixed asset turnover
| Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | Nov 30, 2022 | Aug 31, 2022 | May 31, 2022 | Feb 28, 2022 | Nov 30, 2021 | Aug 31, 2021 | May 31, 2021 | Feb 28, 2021 | Nov 30, 2020 | Aug 31, 2020 | May 31, 2020 | Feb 29, 2020 | Nov 30, 2019 | Aug 31, 2019 | May 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 597,269 | 600,792 | 598,204 | 589,423 | 585,064 | 579,703 | 571,224 | 564,823 | 556,078 | 540,133 | 528,660 | 494,586 | 453,316 | 466,048 | 493,292 | 540,262 | 616,478 | 642,880 | 654,757 | 797,829 |
| Property, plant and equipment | US$ in thousands | 36,963 | 37,963 | 38,968 | 41,783 | 41,248 | 41,784 | 41,372 | 44,400 | 46,480 | 47,732 | 48,590 | 50,147 | 61,258 | 60,219 | 61,405 | 60,671 | 63,065 | 56,094 | 56,729 | 89,973 |
| Fixed asset turnover | 16.16 | 15.83 | 15.35 | 14.11 | 14.18 | 13.87 | 13.81 | 12.72 | 11.96 | 11.32 | 10.88 | 9.86 | 7.40 | 7.74 | 8.03 | 8.90 | 9.78 | 11.46 | 11.54 | 8.87 |
February 29, 2024 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $597,269K ÷ $36,963K
= 16.16
Fixed asset turnover is a financial ratio that measures a company's ability to generate sales from its investment in fixed assets such as property, plant, and equipment. Enerpac Tool Group Corp's fixed asset turnover has shown a generally increasing trend over the past two years, indicating improved efficiency in utilizing its fixed assets to generate revenue.
The fixed asset turnover ratio has consistently exceeded 10 in recent periods, reaching a peak of 16.16 in February 2024. This suggests that Enerpac Tool Group Corp is generating $16.16 of sales for every dollar invested in fixed assets, highlighting strong asset utilization efficiency.
The steady increase in fixed asset turnover reflects the company's effective management of its fixed assets to drive revenue growth. A high fixed asset turnover ratio indicates that Enerpac Tool Group Corp is efficiently utilizing its capital investments in fixed assets to generate sales, which is a positive sign of operational effectiveness.
Overall, the trend of increasing fixed asset turnover for Enerpac Tool Group Corp indicates that the company is effectively leveraging its fixed assets to generate revenue, which is a critical factor in determining long-term profitability and sustainable growth.
Peer comparison
Feb 29, 2024