Chart Industries Inc (GTLS)
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 | 4,808,700 | 4,716,900 | 5,174,000 | 5,669,300 | 4,608,100 | 4,034,500 | 2,927,000 | 1,796,200 | 1,612,400 | 1,549,900 | 1,466,100 | 1,383,300 | 1,317,700 | 1,251,200 | 1,196,100 | 1,184,500 | 1,217,100 | 1,247,100 | 1,331,700 | 1,330,900 |
| Property, plant and equipment | US$ in thousands | — | — | — | — | — | 815,500 | — | — | 430,000 | 407,100 | 407,200 | 412,400 | 416,000 | 412,300 | 414,000 | 409,300 | 414,500 | 396,000 | 397,500 | 399,300 |
| Fixed asset turnover | — | — | — | — | — | 4.95 | — | — | 3.75 | 3.81 | 3.60 | 3.35 | 3.17 | 3.03 | 2.89 | 2.89 | 2.94 | 3.15 | 3.35 | 3.33 |
December 31, 2024 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $4,808,700K ÷ $—K
= —
The fixed asset turnover ratio measures how efficiently a company is utilizing its fixed assets to generate sales. A higher ratio indicates better utilization of fixed assets.
For Chart Industries Inc, the fixed asset turnover has shown fluctuations over the years. It was relatively stable around 3.3 to 3.6 from March 2020 to June 2022, indicating consistent and efficient use of its fixed assets during that period. However, there was a slight dip to 2.89 in March and June 2022.
From September 2022 to September 2023, there was an increasing trend in the fixed asset turnover ratio, reaching a peak of 4.95 in September 2023. This significant increase reflects better efficiency in generating sales relative to its fixed assets during that time.
Overall, fluctuations in the fixed asset turnover ratio for Chart Industries Inc suggest varying levels of efficiency in utilizing fixed assets to generate revenue. It is important for the company to maintain a balance between investing in fixed assets and maximizing their utilization to enhance overall operational performance and profitability.