Eagle Materials Inc (EXP)
Fixed asset turnover
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 2,217,040 | 2,209,817 | 2,163,667 | 2,148,123 | 2,112,898 | 2,066,217 | 2,020,952 | 1,921,890 | 1,836,631 | 1,766,816 | 1,704,833 | 1,642,535 | 1,691,662 | 1,663,802 | 1,609,201 | 1,578,462 | 1,422,288 | 1,391,547 | 1,376,832 | 1,347,125 |
| Property, plant and equipment | US$ in thousands | 1,676,220 | 1,667,920 | 1,676,740 | 1,679,920 | 1,662,060 | 1,641,640 | 1,655,620 | 1,638,160 | 1,616,540 | 1,626,990 | 1,629,130 | 1,641,060 | 1,659,100 | 1,680,650 | 1,706,200 | 1,726,360 | 1,756,420 | 1,269,730 | 1,456,060 | 1,424,700 |
| Fixed asset turnover | 1.32 | 1.32 | 1.29 | 1.28 | 1.27 | 1.26 | 1.22 | 1.17 | 1.14 | 1.09 | 1.05 | 1.00 | 1.02 | 0.99 | 0.94 | 0.91 | 0.81 | 1.10 | 0.95 | 0.95 |
March 31, 2024 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $2,217,040K ÷ $1,676,220K
= 1.32
Eagle Materials Inc's fixed asset turnover ratio has shown a fluctuating trend over the past few quarters. The ratio measures the efficiency of the company in generating revenue from its investments in fixed assets. A higher fixed asset turnover ratio indicates that the company is utilizing its fixed assets more efficiently to generate sales.
From the data provided, we can observe that the fixed asset turnover ratio has generally been increasing over the past few quarters, albeit with some fluctuations. This suggests that Eagle Materials Inc has been able to increase its revenue generation relative to its investment in fixed assets.
The ratio increased from 0.95 in Jun 2020 to 1.32 in Mar 2024, indicating improved efficiency in utilizing fixed assets to generate sales revenue. However, it is important to note that the ratio dipped slightly in Jun 2023 and Sep 2023 before picking up again.
Overall, the increasing trend in the fixed asset turnover ratio for Eagle Materials Inc is a positive sign as it indicates that the company is effectively utilizing its fixed assets to generate revenue. This trend may suggest better operational efficiency and potentially improved profitability in the future.