FMC Corporation (FMC)
Fixed asset turnover
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 4,246,100 | 4,167,900 | 4,084,400 | 4,060,500 | 4,486,800 | 4,962,700 | 5,358,000 | 5,795,800 | 5,802,300 | 5,593,900 | 5,410,700 | 5,200,400 | 5,045,200 | 4,783,800 | 4,674,400 | 4,587,700 | 4,642,100 | 4,687,200 | 4,616,900 | 4,667,700 |
| Property, plant and equipment | US$ in thousands | — | — | — | — | — | 995,000 | 867,900 | 862,700 | 849,600 | 789,600 | 797,400 | 804,100 | 817,000 | 782,200 | 776,700 | 764,200 | 771,700 | 739,200 | 733,800 | 735,700 |
| Fixed asset turnover | — | — | — | — | — | 4.99 | 6.17 | 6.72 | 6.83 | 7.08 | 6.79 | 6.47 | 6.18 | 6.12 | 6.02 | 6.00 | 6.02 | 6.34 | 6.29 | 6.34 |
December 31, 2024 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $4,246,100K ÷ $—K
= —
The fixed asset turnover ratio for FMC Corporation has shown a fluctuating trend over the reporting periods. It was relatively stable around the range of 6.00 to 6.34 during the early part of the analysis period in 2020 and 2021.
However, there was a noticeable decrease in the fixed asset turnover ratio to 6.02 in December 2021, possibly indicating a decrease in the efficiency of utilizing fixed assets to generate sales revenue. This trend continued in the subsequent periods as the ratio further declined to 4.99 in September 2023.
It is important to note that the fixed asset turnover ratio is influenced by factors such as asset utilization, sales volume, and asset base changes. The ratio witnessed a slight recovery in the following periods, reaching 6.72 in March 2023, before declining again to 6.17 in June 2023.
As of the latest available data in September 2023, the fixed asset turnover ratio stands at 4.99, indicating a potential inefficiency in utilizing fixed assets to generate sales revenue effectively. It would be essential for FMC Corporation to assess and address the factors contributing to this decline to improve operational efficiency and maximize returns on its fixed assets.
Peer comparison
Dec 31, 2024