Graphic Packaging Holding Company (GPK)
Fixed asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 9,428,000 | 9,440,000 | 7,156,000 | 6,560,000 | 6,160,000 |
| Property, plant and equipment | US$ in thousands | 4,992,000 | 4,579,000 | 4,677,000 | 3,560,000 | 3,253,800 |
| Fixed asset turnover | 1.89 | 2.06 | 1.53 | 1.84 | 1.89 |
December 31, 2023 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $9,428,000K ÷ $4,992,000K
= 1.89
The fixed asset turnover ratio for Graphic Packaging Holding Co has exhibited some fluctuations over the past five years. In 2023, the ratio stands at 1.89, down from 2.06 in 2022, but higher than the 1.84 and 1.53 recorded in 2020 and 2021, respectively. This indicates that, on average, the company generated $1.89 in sales for every dollar invested in fixed assets in 2023. The variation in the ratio suggests changes in the efficiency of utilizing fixed assets to generate sales over the years. Further analysis is required to understand the reasons behind these fluctuations and assess the company's operational performance and asset management strategies in more detail.
Peer comparison
Dec 31, 2023