FMC Corporation (FMC)
Fixed asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 4,174,400 | 5,573,700 | 5,034,800 | 4,636,800 | 4,609,800 |
| Property, plant and equipment | US$ in thousands | 892,500 | 849,600 | 817,000 | 771,700 | 758,000 |
| Fixed asset turnover | 4.68 | 6.56 | 6.16 | 6.01 | 6.08 |
December 31, 2023 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $4,174,400K ÷ $892,500K
= 4.68
The fixed asset turnover ratio for FMC Corp. has shown some fluctuations over the past five years. The ratio decreased from 6.08 in 2019 to 6.02 in 2020, indicating a slight decline in the company's efficiency in generating sales from its fixed assets.
However, the ratio then rebounded in 2021 to 6.18, suggesting an improvement in this aspect of the business. The subsequent years also showed positive signs, with the ratio reaching 6.83 in 2022 and 5.03 in 2023.
Overall, the trend in the fixed asset turnover ratio for FMC Corp. reflects some variability, with fluctuations in performance over the years. These changes could be influenced by factors such as changes in sales volumes, investments in new fixed assets, or operational efficiencies. It is important for the company to closely monitor this ratio to ensure optimal utilization of its fixed assets in generating revenue.
Peer comparison
Dec 31, 2023