Huntington Ingalls Industries Inc (HII)
Fixed asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 11,535,000 | 11,454,000 | 10,676,000 | 9,524,000 | 9,361,000 |
| Property, plant and equipment | US$ in thousands | 3,450,000 | 3,296,000 | 3,198,000 | 3,107,000 | 2,978,000 |
| Fixed asset turnover | 3.34 | 3.48 | 3.34 | 3.07 | 3.14 |
December 31, 2024 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $11,535,000K ÷ $3,450,000K
= 3.34
The fixed asset turnover ratio of Huntington Ingalls Industries Inc has shown a consistent trend over the past five years, increasing from 3.14 in December 31, 2020, to 3.34 in December 31, 2022, before slightly declining to 3.07 in December 31, 2021. However, the ratio rebounded in the following years, reaching 3.48 in December 31, 2023, before stabilizing back to 3.34 in December 31, 2024.
This indicates that the company is effectively utilizing its fixed assets to generate sales revenue. A higher fixed asset turnover ratio suggests that the company is generating more revenue per dollar invested in fixed assets, which can be a positive sign of operational efficiency. Overall, the consistent and relatively high fixed asset turnover ratio of Huntington Ingalls Industries Inc reflects efficient asset management and effective utilization of resources in its operations.
Peer comparison
Dec 31, 2024