Group 1 Automotive Inc (GPI)
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 | 19,934,500 | 18,868,300 | 18,352,000 | 18,214,200 | 17,873,700 | 17,462,600 | 16,920,900 | 16,507,600 | 16,222,000 | 15,642,700 | 14,988,500 | 14,543,600 | 13,709,200 | 13,209,800 | 12,740,300 | 11,171,200 | 10,852,000 | 10,973,200 | 11,051,800 | 11,926,190 |
| Property, plant and equipment | US$ in thousands | — | — | — | — | — | 2,451,600 | 2,461,800 | 2,409,400 | 2,377,300 | 2,284,500 | 2,240,000 | 2,252,900 | 2,225,600 | 1,862,500 | 1,859,100 | 1,844,900 | 1,818,100 | 1,592,000 | 1,548,900 | 1,549,000 |
| Fixed asset turnover | — | — | — | — | — | 7.12 | 6.87 | 6.85 | 6.82 | 6.85 | 6.69 | 6.46 | 6.16 | 7.09 | 6.85 | 6.06 | 5.97 | 6.89 | 7.14 | 7.70 |
December 31, 2024 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $19,934,500K ÷ $—K
= —
The fixed asset turnover ratio for Group 1 Automotive Inc has shown some fluctuation over the past few years. It was 7.70 as of March 31, 2020, indicating that the company generated $7.70 in sales revenue for each dollar invested in fixed assets. The ratio decreased to 5.97 as of December 31, 2020, suggesting a decline in efficiency in utilizing fixed assets to generate sales.
However, the ratio has since shown some improvement and has been trending around the range of 6.00 to 7.00 in the subsequent quarters, reaching a peak of 7.12 as of September 30, 2023. This increase indicates that the company has been able to enhance its utilization of fixed assets to generate sales revenue more effectively during this period.
The fixed asset turnover ratio is a key indicator of how efficiently a company is using its fixed assets to generate sales. A higher ratio generally signifies better asset utilization and operational performance, while a declining ratio may indicate inefficiency or underutilization of fixed assets.
It will be important to monitor the fixed asset turnover ratio in the future quarters to assess whether Group 1 Automotive Inc continues to improve its efficiency in utilizing fixed assets to drive sales growth.
Peer comparison
Dec 31, 2024