FirstEnergy Corporation (FE)

Fixed asset turnover

		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	Mar 31, 2019
Revenue (ttm)	US$ in thousands	12,870,000	12,901,000	12,889,000	12,701,000	12,459,000	11,942,000	11,591,000	11,395,000	11,132,000	11,009,000	10,907,000	10,807,000	10,790,000	10,926,000	10,867,000	10,861,000	11,035,000	11,072,000	11,173,000	11,282,000
Property, plant and equipment	US$ in thousands	38,412,000	37,678,000	37,149,000	36,630,000	36,285,000	35,572,000	35,367,000	34,996,000	34,744,000	34,305,000	34,017,000	33,640,000	33,294,000	32,857,000	32,408,000	32,005,000	31,650,000	31,152,000	30,678,000	30,266,000
Fixed asset turnover		0.34	0.34	0.35	0.35	0.34	0.34	0.33	0.33	0.32	0.32	0.32	0.32	0.32	0.33	0.34	0.34	0.35	0.36	0.36	0.37

December 31, 2023 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $12,870,000K ÷ $38,412,000K
= 0.34

Fixed asset turnover is a financial ratio that measures how efficiently a company is generating revenue from its fixed assets. A higher ratio indicates that the company is effectively utilizing its fixed assets to generate sales.

Firstenergy Corp.'s fixed asset turnover has been relatively stable over the past eight quarters, ranging between 0.33 to 0.35. This suggests that the company is consistently generating sales in relation to its investment in fixed assets.

While the fixed asset turnover ratio alone does not provide a complete picture of a company's financial health, it is a useful indicator of operational efficiency. In the case of Firstenergy Corp., the stable trend in fixed asset turnover indicates that the company is maintaining a consistent level of efficiency in utilizing its fixed assets to drive revenue generation.