Gilead Sciences Inc (GILD)
Fixed asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 26,229,000 | 26,413,000 | 26,325,000 | 24,689,000 | 22,449,000 |
| Property, plant and equipment | US$ in thousands | 5,317,000 | 5,475,000 | 5,121,000 | 4,967,000 | 4,502,000 |
| Fixed asset turnover | 4.93 | 4.82 | 5.14 | 4.97 | 4.99 |
December 31, 2023 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $26,229,000K ÷ $5,317,000K
= 4.93
The fixed asset turnover ratio for Gilead Sciences, Inc. has shown a relatively stable performance over the past five years, ranging from 4.97 to 5.33. This ratio indicates the company's efficiency in generating revenue from its fixed assets.
A higher fixed asset turnover ratio typically indicates that the company is effectively utilizing its fixed assets to generate sales. Gilead Sciences has demonstrated consistent efficiency in this aspect, with the ratio ranging around 5, which suggests that the company is efficiently using its fixed assets to generate revenue.
Overall, the relatively stable and high fixed asset turnover ratios suggest that Gilead Sciences has been effectively managing and utilizing its fixed assets over the years to drive sales and revenue generation.
Peer comparison
Dec 31, 2023