Flowers Foods Inc (FLO)

Fixed asset turnover

		Dec 31, 2023	Oct 7, 2023	Jul 15, 2023	Apr 22, 2023	Dec 31, 2022	Oct 8, 2022	Apr 23, 2022	Dec 31, 2021	Oct 9, 2021	Jul 17, 2021	Apr 24, 2021	Dec 31, 2020	Sep 30, 2020	Jul 11, 2020	Apr 18, 2020	Dec 31, 2019	Oct 5, 2019	Jul 13, 2019	Apr 20, 2019	Dec 31, 2018
Revenue (ttm)	US$ in thousands	5,090,830	5,044,470	5,003,380	5,211,260	4,660,260	4,605,390	4,464,530	4,330,770	4,370,320	4,332,170	4,340,720	4,387,990	4,282,709	4,259,620	4,209,519	4,123,979	4,086,887	4,043,775	4,009,299	3,951,849
Property, plant and equipment	US$ in thousands	962,981	961,659	961,786	959,187	849,325	838,146	816,466	798,728	706,374	701,637	696,780	699,393	694,450	697,127	697,067	717,822	709,555	713,390	711,765	743,847
Fixed asset turnover		5.29	5.25	5.20	5.43	5.49	5.49	5.47	5.42	6.19	6.17	6.23	6.27	6.17	6.11	6.04	5.75	5.76	5.67	5.63	5.31

December 31, 2023 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $5,090,830K ÷ $962,981K
= 5.29

Flowers Foods Inc has maintained a relatively stable fixed asset turnover ratio over the past several quarters, ranging between 5.20 and 6.27. This indicates that the company generates approximately $5.20 to $6.27 in revenue for every dollar invested in fixed assets. The higher the fixed asset turnover ratio, the more efficiently the company is utilizing its fixed assets to generate sales.

The peak in fixed asset turnover of 6.27 in the second quarter of 2021 suggests that Flowers Foods was particularly efficient in generating revenue from its fixed assets during that period. However, the slight decline in the most recent quarter compared to the peak indicates a potential decrease in efficiency in utilizing fixed assets to generate revenue.

Overall, Flowers Foods Inc's fixed asset turnover ratio demonstrates a consistent and robust utilization of its fixed assets to generate revenue, indicating operational efficiency in the company's asset management.