Hayward Holdings Inc (HAYW)

Fixed asset turnover

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
Revenue (ttm) US$ in thousands 922,271 923,297 948,260 1,064,159 1,263,605 1,358,135 1,463,492 1,424,864 1,342,456
Property, plant and equipment US$ in thousands 150,536 150,954 147,062 143,073 140,940 139,507 138,503 141,368 138,737 143,403 139,300 142,100
Fixed asset turnover 6.13 6.12 6.45 7.44 8.97 9.74 10.57 10.08 9.68

December 31, 2023 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $922,271K ÷ $150,536K
= 6.13

The fixed asset turnover ratio measures how efficiently a company generates sales from its fixed assets. A higher ratio indicates that the company is using its fixed assets more effectively to generate revenue.

Looking at the trend of Hayward Holdings Inc's fixed asset turnover ratio over the past eight quarters, we observe a general declining trend from a high of 10.25 in Q2 2022 to a low of 6.24 in Q4 2023. This downward trend suggests that the company may be becoming less efficient in utilizing its fixed assets to generate sales over time.

The fluctuations in the ratio from quarter to quarter indicate potential variability in sales relative to the value of fixed assets during those periods. For instance, the ratio peaked at 8.77 in Q4 2022 before declining steadily in subsequent quarters.

Further analysis would be needed to understand the reasons behind the changes in the fixed asset turnover ratio. Factors such as changes in sales volume, asset impairments, or investment in new fixed assets could all contribute to the fluctuations observed in Hayward Holdings Inc's fixed asset turnover ratio.


Peer comparison

Dec 31, 2023

Company name
Symbol
Fixed asset turnover
Hayward Holdings Inc
HAYW
6.13
Middleby Corp
MIDD
7.92
Standex International Corporation
SXI
5.32
Tennant Company
TNC
2.53