General Mills Inc (GIS)

Fixed asset turnover

		May 31, 2025	May 31, 2024	May 26, 2024	May 31, 2023	May 28, 2023
Revenue	US$ in thousands	19,486,600	19,857,200	2,037,800	20,094,200	1,957,400
Property, plant and equipment	US$ in thousands	—	—	3,863,900	3,636,200	3,636,200
Fixed asset turnover		—	—	0.53	5.53	0.54

May 31, 2025 calculation

Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $19,486,600K ÷ $—K
= —

The fixed asset turnover ratio for General Mills Inc. exhibits significant fluctuations over the reported periods. As of May 28, 2023, the ratio stood at 0.54, indicating that the company's net sales were generating slightly more than half of the fixed assets’ value, suggesting relatively low efficiency in utilizing fixed assets to generate sales during that period. A notable increase occurred by May 31, 2023, with the ratio rising sharply to 5.53, implying substantially improved efficiency in asset utilization, likely due to enhanced operational performance or strategic adjustments.

In the subsequent year, the ratio returned to a similar level as the earlier period, recorded at 0.53 on May 26, 2024. The ratio for May 31, 2024, is unavailable, and the data for May 31, 2025, is not provided, indicating either the end of reporting or missing data points.

The observed fluctuation between approximately 0.54 and 5.53 over the short sampled period suggests variability in asset utilization efficiency. The spike in May 2023 could be driven by temporary factors such as asset sales, operational efficiencies, or accounting changes that affected sales or net fixed assets. Conversely, the low ratios in May 2023 and May 2024 may reflect periods where fixed assets were not being used as effectively to generate sales, potentially due to investments, underutilization, or operational challenges.

Overall, these ratios imply that General Mills Inc. experienced a period of significant efficiency in fixed asset utilization in May 2023 followed by a reversion to more typical, lower levels of fixed asset turnover. The absence of data beyond May 2024 prevents a comprehensive trend analysis, but the available information indicates substantial variability rather than a stable long-term pattern.