HealthEquity Inc (HQY)

Fixed asset turnover

		Jan 31, 2024	Oct 31, 2023	Jul 31, 2023	Apr 30, 2023	Jan 31, 2023	Oct 31, 2022	Jul 31, 2022	Apr 30, 2022	Jan 31, 2022	Oct 31, 2021	Jul 31, 2021	Apr 30, 2021	Jan 31, 2021	Oct 31, 2020	Jul 31, 2020	Apr 30, 2020	Jan 31, 2020	Oct 31, 2019	Jul 31, 2019	Apr 30, 2019
Revenue (ttm)	US$ in thousands	958,410	916,132	884,134	848,438	815,511	788,427	748,466	735,565	717,815	706,638	714,959	700,254	700,489	719,841	694,134	614,980	525,114	399,691	323,044	305,671
Property, plant and equipment	US$ in thousands	6,013	7,660	9,145	10,532	12,862	15,620	18,028	21,003	23,372	24,930	27,382	27,479	29,106	31,774	34,528	35,821	33,486	35,199	9,873	8,481
Fixed asset turnover		159.39	119.60	96.68	80.56	63.40	50.48	41.52	35.02	30.71	28.34	26.11	25.48	24.07	22.66	20.10	17.17	15.68	11.36	32.72	36.04

January 31, 2024 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $958,410K ÷ $6,013K
= 159.39

HealthEquity Inc's fixed asset turnover has shown a generally increasing trend over the provided period. The ratio indicates that the company has been efficient in generating revenue from its investment in fixed assets. Higher fixed asset turnover values suggest that HealthEquity has been effectively utilizing its fixed assets to generate sales. The significant increase in fixed asset turnover from around 11.36 in July 2019 to 159.39 in January 2024 is particularly noteworthy and indicates a substantial improvement in the company's efficiency in generating revenue from its fixed assets over time. This improvement suggests that HealthEquity has been able to either increase sales relative to the book value of its fixed assets or decrease the book value of fixed assets while maintaining revenue levels. Overall, the trend in fixed asset turnover reflects positively on HealthEquity's operational efficiency and asset utilization.