Floor & Decor Holdings Inc (FND)
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 | 4,406,920 | 4,406,870 | 4,395,090 | 4,350,260 | 4,260,640 | 4,126,905 | 3,907,461 | 3,678,719 | 3,433,006 | 3,242,323 | 3,049,717 | 2,651,270 | 2,422,460 | 2,225,810 | 2,062,093 | 2,119,126 | 2,039,528 | 1,949,265 | 1,863,273 | 1,776,713 |
| Property, plant and equipment | US$ in thousands | 1,629,920 | 1,562,620 | 1,443,500 | 1,344,990 | 1,258,060 | 1,164,120 | 1,085,780 | 1,007,940 | 929,083 | 836,310 | 727,108 | 611,311 | 579,359 | 506,789 | 481,770 | 473,081 | 456,289 | 425,498 | 382,646 | 338,888 |
| Fixed asset turnover | 2.70 | 2.82 | 3.04 | 3.23 | 3.39 | 3.55 | 3.60 | 3.65 | 3.70 | 3.88 | 4.19 | 4.34 | 4.18 | 4.39 | 4.28 | 4.48 | 4.47 | 4.58 | 4.87 | 5.24 |
December 31, 2023 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $4,406,920K ÷ $1,629,920K
= 2.70
Floor & Decor Holdings Inc's fixed asset turnover has exhibited a generally increasing trend over the past few years, indicating that the company is becoming more efficient in generating sales revenue relative to its investment in fixed assets. The fixed asset turnover ratio measures how effectively a company utilizes its fixed assets to generate revenue.
From 2019 to 2023, Floor & Decor's fixed asset turnover has improved from 4.47 to 3.23, showcasing a positive trend. This implies that for every dollar invested in fixed assets, the company generated $3.23 in sales revenue as of March 31, 2023.
A higher fixed asset turnover ratio is generally preferred as it indicates that the company is generating more revenue per dollar invested in fixed assets. This trend suggests that Floor & Decor Holdings Inc has been effectively managing its fixed assets and utilizing them efficiently to drive sales growth.
Peer comparison
Dec 31, 2023