GE HealthCare Technologies Inc. (GEHC)
Fixed asset turnover
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | ||
|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 18,952,000 | 19,284,000 | |||
| Property, plant and equipment | US$ in thousands | 2,144,000 | 2,016,000 | 2,018,000 | 2,021,000 | 2,001,000 |
| Fixed asset turnover | 8.84 | 9.57 |
December 31, 2023 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $18,952,000K ÷ $2,144,000K
= 8.84
The fixed asset turnover ratio for GE HealthCare Technologies Inc. has shown a significant decline from 9.57 in September 2023 to 8.84 in December 2023. This decrease indicates that the company generated less revenue from its fixed assets in the most recent period. A lower fixed asset turnover ratio could imply inefficient utilization of fixed assets in generating sales or potential underperformance in the company's operations. It would be essential for GE HealthCare Technologies Inc. to investigate the reasons behind this decline and take necessary actions to improve the efficiency of its fixed asset utilization.
Peer comparison
Dec 31, 2023