Generac Holdings Inc (GNRC)
Fixed asset turnover
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 4,290,970 | 4,119,840 | 3,997,100 | 3,974,163 | 3,949,805 | 3,935,365 | 3,962,145 | 4,264,295 | 4,525,680 | 4,543,520 | 4,405,498 | 4,039,517 | 3,712,928 | 3,406,940 | 3,165,481 | 2,792,968 | 2,460,119 | 2,289,969 | 2,187,141 | 2,179,689 |
| Property, plant and equipment | US$ in thousands | 690,023 | 639,733 | 622,947 | 605,466 | 598,577 | 511,893 | 505,026 | 490,143 | 467,604 | 450,133 | 446,007 | 443,480 | 440,852 | 412,706 | 392,518 | 345,563 | 343,936 | 321,360 | 317,822 | 315,828 |
| Fixed asset turnover | 6.22 | 6.44 | 6.42 | 6.56 | 6.60 | 7.69 | 7.85 | 8.70 | 9.68 | 10.09 | 9.88 | 9.11 | 8.42 | 8.26 | 8.06 | 8.08 | 7.15 | 7.13 | 6.88 | 6.90 |
December 31, 2024 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $4,290,970K ÷ $690,023K
= 6.22
Generac Holdings Inc's fixed asset turnover ratio has shown a generally increasing trend from March 2020 to September 2022, indicating the company was generating more revenue for each dollar invested in fixed assets during this period. The ratio peaked at 10.09 in September 2022, suggesting efficient utilization of fixed assets to generate sales.
However, from December 2022 to December 2024, the fixed asset turnover ratio started to decline, indicating a decrease in the company's ability to generate revenue from its fixed assets. This downward trend could signal potential inefficiencies in asset management or a decrease in sales relative to the investment in fixed assets.
It is worth further investigation into the factors contributing to the fluctuation in the fixed asset turnover ratio to determine if there are operational issues impacting the company's efficiency in utilizing its fixed assets effectively.
Peer comparison
Dec 31, 2024
See also:
Generac Holdings Inc Net Fixed Asset Turnover (Quarterly Data)