EQT Corporation (EQT)

Fixed asset turnover

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Revenue	US$ in thousands	5,273,310	6,908,920	7,497,690	3,064,660	3,058,840
Property, plant and equipment	US$ in thousands	31,747,800	22,950,200	18,167,300	18,418,900	16,054,300
Fixed asset turnover		0.17	0.30	0.41	0.17	0.19

December 31, 2024 calculation

Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $5,273,310K ÷ $31,747,800K
= 0.17

The fixed asset turnover ratio measures how efficiently a company is using its fixed assets to generate revenue. For EQT Corporation, the fixed asset turnover ratio has shown variability over the years.

- In December 31, 2020, the ratio was 0.19, indicating that for every dollar of fixed assets, the company generated $0.19 of revenue. This suggests that the company may not have been utilizing its fixed assets effectively to generate sales.
- In December 31, 2021, the ratio decreased slightly to 0.17, indicating a decline in the efficiency of utilizing fixed assets to generate revenue.
- The ratio significantly improved in December 31, 2022, reaching 0.41, which implies that the company improved its efficiency in generating revenue from its fixed assets.
- However, in December 31, 2023, the ratio dropped to 0.30, indicating a decrease in the efficiency of utilizing fixed assets to generate revenue compared to the previous year.
- The trend continued with a ratio of 0.17 on December 31, 2024, which was similar to the ratio in 2021, suggesting a potential struggle in efficiently leveraging fixed assets to generate revenue.

Overall, EQT Corporation's fixed asset turnover ratio has shown fluctuations, with improvements in certain years but declines in others. It is important for the company to consistently monitor and enhance its utilization of fixed assets to optimize revenue generation.