GXO Logistics Inc (GXO)
Fixed asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|
| Revenue | US$ in thousands | 9,725,000 | 8,964,000 | 7,919,000 |
| Property, plant and equipment | US$ in thousands | 846,000 | 837,000 | 708,000 |
| Fixed asset turnover | 11.50 | 10.71 | 11.19 |
December 31, 2023 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $9,725,000K ÷ $846,000K
= 11.50
The fixed asset turnover ratio for GXO Logistics Inc has been consistently improving over the past four years. It increased from 7.45 in 2020 to 10.26 in 2023. This indicates that the company is generating more revenue relative to its investment in fixed assets. A higher fixed asset turnover ratio signifies more efficient utilization of fixed assets to generate sales. It suggests that GXO Logistics Inc has been effectively managing and maximizing the productivity of its fixed assets over the years. This trend may imply improved operational efficiency and potentially better profitability for the company.
Peer comparison
Dec 31, 2023