Freeport-McMoran Copper & Gold Inc (FCX)
Fixed asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 25,455,000 | 22,855,000 | 22,780,000 | 22,845,000 | 14,198,000 |
| Property, plant and equipment | US$ in thousands | — | — | 33,879,000 | 30,345,000 | 31,281,000 |
| Fixed asset turnover | — | — | 0.67 | 0.75 | 0.45 |
December 31, 2024 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $25,455,000K ÷ $—K
= —
Fixed asset turnover is a financial ratio that measures how efficiently a company is utilizing its fixed assets to generate revenue. In the case of Freeport-McMoran Copper & Gold Inc, the fixed asset turnover ratio has shown fluctuations over the years.
As of December 31, 2020, the fixed asset turnover ratio was 0.45, indicating that for every dollar of fixed assets, the company generated $0.45 in revenue. This suggests that the company may not be efficiently utilizing its fixed assets to generate sales.
By December 31, 2021, the fixed asset turnover improved to 0.75, showing an increase in efficiency in generating revenue from fixed assets. This could be a positive sign of better asset utilization or increased revenue generation.
However, by December 31, 2022, the fixed asset turnover ratio decreased to 0.67, indicating a slight decline in efficiency compared to the previous year. This may be a signal that the company's ability to generate revenue from its fixed assets has weakened.
The lack of data for December 31, 2023, and December 31, 2024, prevents further analysis of the trend in fixed asset turnover for those years.
In conclusion, Freeport-McMoran Copper & Gold Inc's fixed asset turnover ratio has shown variability over the years, demonstrating fluctuations in the company's efficiency in utilizing its fixed assets to generate revenue. Further analysis of the company's operational and strategic factors may be needed to understand the underlying reasons for these fluctuations.
Peer comparison
Dec 31, 2024