Hologic Inc (HOLX)
Fixed asset turnover
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 4,030,300 | 4,030,400 | 4,862,800 | 5,632,300 | 3,776,400 |
| Property, plant and equipment | US$ in thousands | 537,800 | 517,000 | 481,600 | 564,700 | 491,500 |
| Fixed asset turnover | 7.49 | 7.80 | 10.10 | 9.97 | 7.68 |
September 30, 2024 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $4,030,300K ÷ $537,800K
= 7.49
Hologic Inc's fixed asset turnover ratio has shown some variability over the five-year period from September 30, 2020, to September 30, 2024. The fixed asset turnover indicates how efficiently the company is utilizing its fixed assets to generate revenue.
The trend indicates that in 2022, Hologic Inc achieved the highest fixed asset turnover of 10.10, implying that for every dollar invested in fixed assets, the company generated $10.10 in revenue. This period could signify effective asset utilization strategies or increased sales relative to fixed asset investments.
In 2023 and 2021, the fixed asset turnover remained high at 7.80 and 9.97, respectively, suggesting continued efficiency in utilizing fixed assets to generate revenue.
However, in 2024, the fixed asset turnover decreased to 7.49. This decline could indicate either a decrease in revenue generation relative to fixed asset investments or an increase in fixed asset investments without a proportional increase in revenue. This might warrant further investigation to determine the underlying causes for the decrease in efficiency.
Overall, despite the fluctuations, Hologic Inc has generally exhibited strong performance in terms of efficiently utilizing its fixed assets to generate revenue over the period under review.
Peer comparison
Sep 30, 2024