HCA Holdings Inc (HCA)
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 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 64,968,000 | 63,162,000 | 61,920,000 | 60,879,000 | 60,233,000 | 59,800,000 | 60,105,000 | 59,720,000 | 58,752,000 | 59,483,000 | 57,147,000 | 53,365,000 | 51,533,000 | 50,841,000 | 49,934,000 | 51,424,000 | 51,334,000 | 48,505,000 | 47,478,000 | 46,437,000 |
| Property, plant and equipment | US$ in thousands | 27,715,000 | 27,117,000 | 26,644,000 | 26,053,000 | 25,575,000 | 24,978,000 | 24,587,000 | 24,228,000 | 24,063,000 | 23,547,000 | 23,471,000 | 23,188,000 | 23,199,000 | 22,941,000 | 23,071,000 | 22,985,000 | 22,715,000 | 22,002,000 | 21,467,000 | 21,128,000 |
| Fixed asset turnover | 2.34 | 2.33 | 2.32 | 2.34 | 2.36 | 2.39 | 2.44 | 2.46 | 2.44 | 2.53 | 2.43 | 2.30 | 2.22 | 2.22 | 2.16 | 2.24 | 2.26 | 2.20 | 2.21 | 2.20 |
December 31, 2023 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $64,968,000K ÷ $27,715,000K
= 2.34
The fixed asset turnover ratio for HCA Healthcare Inc has shown relatively consistent performance over the past eight quarters, ranging between 2.32 to 2.46. This ratio indicates that, on average, the company generated $2.32 to $2.46 in revenue for every dollar invested in fixed assets during the respective quarters.
The slight fluctuations in the ratio suggest that the company is effectively utilizing its fixed assets to generate revenue. A higher fixed asset turnover ratio is generally preferred as it signifies efficient asset utilization. However, the variations between 2.32 and 2.46 are not significant enough to raise concerns about inefficiency.
Overall, HCA Healthcare Inc appears to be managing its fixed assets efficiently and effectively to generate revenue consistently. It is important for the company to maintain this trend to support its financial performance and long-term sustainability.
Peer comparison
Dec 31, 2023