Helen of Troy Ltd (HELE)
Fixed asset turnover
| Feb 28, 2025 | Nov 30, 2024 | Aug 31, 2024 | May 31, 2024 | Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | Nov 30, 2022 | Aug 31, 2022 | May 31, 2022 | Feb 28, 2022 | Nov 30, 2021 | Aug 31, 2021 | May 31, 2021 | Feb 28, 2021 | Nov 30, 2020 | Aug 31, 2020 | May 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 1,907,481 | 1,910,967 | 1,929,875 | 1,947,217 | 2,005,226 | 2,000,432 | 2,009,424 | 2,039,261 | 2,072,667 | 2,170,104 | 2,236,382 | 2,190,210 | 2,223,355 | 2,150,710 | 2,163,563 | 2,219,187 | 2,098,799 | 2,031,789 | 1,868,789 | 1,751,932 |
| Property, plant and equipment | US$ in thousands | — | — | — | — | — | — | 373,904 | 354,195 | 351,793 | 335,234 | 306,340 | 323,315 | 205,378 | 165,061 | 181,902 | 134,450 | 136,535 | 135,795 | 137,024 | 166,309 |
| Fixed asset turnover | — | — | — | — | — | — | 5.37 | 5.76 | 5.89 | 6.47 | 7.30 | 6.77 | 10.83 | 13.03 | 11.89 | 16.51 | 15.37 | 14.96 | 13.64 | 10.53 |
February 28, 2025 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $1,907,481K ÷ $—K
= —
Fixed asset turnover measures how efficiently a company is utilizing its fixed assets to generate revenue. In the case of Helen of Troy Ltd, the fixed asset turnover ratio has fluctuated over the past few years.
From May 31, 2020, to February 28, 2023, the fixed asset turnover ratio showed a general uptrend, increasing from 10.53 to 5.89. This indicates that the company was able to generate more revenue relative to its investment in fixed assets during this period.
However, from May 31, 2022, to August 31, 2023, the fixed asset turnover ratio decreased noticeably from 6.77 to 5.37. This decline suggests a potential inefficiency in utilizing the company's fixed assets to generate sales, which may be a cause for concern.
It is interesting to note that the fixed asset turnover ratio was not reported for the periods from November 30, 2023, onwards. This lack of data makes it difficult to assess the company's recent performance in terms of fixed asset utilization.
In conclusion, the trend in Helen of Troy Ltd's fixed asset turnover ratio has been varied, with periods of improvement followed by a decline. Monitoring this ratio over time is crucial to understanding the company's efficiency in generating revenue from its fixed assets.