Graphic Packaging Holding Company (GPK)
Fixed asset turnover
| Dec 31, 2024 | Sep 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 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 8,819,000 | 9,073,000 | 9,249,000 | 9,428,000 | 9,565,000 | 9,667,000 | 9,633,000 | 9,440,000 | 9,042,000 | 8,373,000 | 7,752,000 | 7,156,000 | 6,820,100 | 6,736,100 | 6,610,100 | 6,560,100 | 6,427,800 | 6,311,400 | 6,253,200 | 6,160,100 |
| Property, plant and equipment | US$ in thousands | 5,258,000 | 5,028,000 | 4,685,000 | 4,992,000 | 4,799,000 | 4,753,000 | 4,678,000 | 4,579,000 | 4,509,000 | 4,601,000 | 4,675,000 | 4,677,000 | 4,020,000 | 3,753,000 | 3,631,000 | 3,560,000 | 3,437,400 | 3,379,400 | 3,288,100 | 3,253,800 |
| Fixed asset turnover | 1.68 | 1.80 | 1.97 | 1.89 | 1.99 | 2.03 | 2.06 | 2.06 | 2.01 | 1.82 | 1.66 | 1.53 | 1.70 | 1.79 | 1.82 | 1.84 | 1.87 | 1.87 | 1.90 | 1.89 |
December 31, 2024 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $8,819,000K ÷ $5,258,000K
= 1.68
The fixed asset turnover ratio for Graphic Packaging Holding Company has shown some fluctuations over the years. The ratio was relatively stable between December 31, 2019, and June 30, 2021, ranging from 1.82 to 1.90. However, from September 30, 2021, to December 31, 2022, the ratio exhibited an increasing trend, reaching a peak of 2.06 by the end of December 31, 2022.
Subsequently, there was a slight decrease in the fixed asset turnover ratio by the end of March 31, 2023, but it remained relatively high compared to previous years. The ratio maintained a range between 1.97 and 1.89 until September 30, 2024, with some fluctuations in between.
Overall, Graphic Packaging Holding Company's fixed asset turnover ratio improved significantly from September 30, 2021, onwards, indicating that the company has been able to generate more revenue relative to its investment in fixed assets. This suggests that the company has been utilizing its fixed assets efficiently to generate sales during this period. However, the decrease in the ratio towards the end of the period under review might indicate a potential need for closer scrutiny to ensure optimal utilization of fixed assets in the future.
Peer comparison
Dec 31, 2024