Halliburton Company (HAL)
Fixed asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 23,020,000 | 20,258,000 | 15,299,000 | 14,281,000 | 22,413,000 |
| Property, plant and equipment | US$ in thousands | 4,900,000 | 4,348,000 | 4,326,000 | 4,325,000 | 7,310,000 |
| Fixed asset turnover | 4.70 | 4.66 | 3.54 | 3.30 | 3.07 |
December 31, 2023 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $23,020,000K ÷ $4,900,000K
= 4.70
Fixed asset turnover is a financial ratio that measures a company's ability to generate revenue from its investment in fixed assets. Halliburton Co.'s fixed asset turnover has shown a generally increasing trend over the past five years, indicating improved efficiency in utilizing its fixed assets to generate revenue. In 2023, the fixed asset turnover ratio reached 4.70, the highest in the provided period, suggesting that the company generated $4.70 in revenue for every dollar invested in fixed assets. This suggests greater operational efficiency and effectiveness in utilizing its fixed assets to drive sales. Overall, the increasing trend in fixed asset turnover reflects positively on Halliburton Co.'s management of its fixed asset base to generate revenue.
Peer comparison
Dec 31, 2023