Fortinet Inc (FTNT)

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	5,240,800	5,073,600	4,894,300	4,628,200	4,328,000	4,044,600	3,755,900	3,535,000	3,309,700	3,108,300	2,900,500	2,719,400	2,586,000	2,453,200	2,349,600	2,255,800	2,151,500	2,040,600	1,947,000	1,866,600
Property, plant and equipment	US$ in thousands	1,044,400	1,038,000	981,900	917,400	898,500	889,500	814,600	786,500	687,600	556,600	506,500	494,200	448,000	419,400	392,600	374,200	344,300	305,500	284,700	272,000
Fixed asset turnover		5.02	4.89	4.98	5.04	4.82	4.55	4.61	4.49	4.81	5.58	5.73	5.50	5.77	5.85	5.98	6.03	6.25	6.68	6.84	6.86

December 31, 2023 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $5,240,800K ÷ $1,044,400K
= 5.02

Fortinet Inc's fixed asset turnover has been relatively stable over the past eight quarters, ranging from 4.56 to 5.15. The fixed asset turnover ratio measures how efficiently the company generates revenue from its investment in fixed assets. A higher fixed asset turnover indicates that the company is utilizing its fixed assets more effectively to generate sales.

The company's fixed asset turnover ratio trend indicates that Fortinet Inc has been consistently efficient in generating revenue from its fixed assets. An average fixed asset turnover ratio of around 5.00 over the period suggests that, on average, the company generates $5 in revenue for every $1 invested in fixed assets. This indicates that Fortinet Inc has been effectively utilizing its fixed assets to support revenue generation.

It is essential for investors and analysts to monitor the fixed asset turnover ratio over time to assess the company's operational efficiency and asset utilization. Overall, based on the trend observed in Fortinet Inc's fixed asset turnover ratio, the company appears to be efficiently utilizing its fixed assets to generate sales revenue.