Hexcel Corporation (HXL)
Fixed asset turnover
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 1,888,400 | 1,867,500 | 1,822,700 | 1,775,500 | 1,758,000 | 1,725,300 | 1,669,300 | 1,608,300 | 1,541,500 | 1,472,400 | 1,441,000 | 1,367,900 | 1,286,400 | 1,231,100 | 1,184,000 | 1,241,000 | 1,470,000 | 1,738,500 | 2,022,800 | 2,251,900 |
| Property, plant and equipment | US$ in thousands | 1,596,700 | 1,657,600 | 1,648,700 | 1,658,200 | 1,678,700 | 1,653,000 | 1,680,200 | 1,650,700 | 1,657,800 | 1,629,300 | 1,670,300 | 1,711,800 | 1,746,100 | 1,760,800 | 1,801,000 | 1,828,400 | 1,874,200 | 1,877,300 | 1,901,800 | 1,915,500 |
| Fixed asset turnover | 1.18 | 1.13 | 1.11 | 1.07 | 1.05 | 1.04 | 0.99 | 0.97 | 0.93 | 0.90 | 0.86 | 0.80 | 0.74 | 0.70 | 0.66 | 0.68 | 0.78 | 0.93 | 1.06 | 1.18 |
December 31, 2024 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $1,888,400K ÷ $1,596,700K
= 1.18
Fixed asset turnover measures how efficiently a company is utilizing its fixed assets to generate revenue. In the case of Hexcel Corporation, the trend of fixed asset turnover shows a gradual decline from 1.18 in March 2020 to 0.78 by December 2020. This indicates that the company's ability to generate revenue from its fixed assets decreased during this period.
Subsequently, there was a slight improvement in fixed asset turnover from December 2020 to March 2021, reaching 0.68. However, the ratio continued to fluctuate between 0.66 and 0.93 over the following quarters.
From March 2023 onwards, there is a general upward trend in fixed asset turnover, reflecting a positive development. The ratio increased steadily from 0.97 in March 2023 to 1.18 by December 2024.
Overall, the analysis of Hexcel Corporation's fixed asset turnover indicates fluctuations in the efficiency of utilizing fixed assets to generate revenue during the period under review. The company experienced periods of decline followed by an improvement in the utilization of fixed assets, with a positive upward trend observed in recent quarters.
Peer comparison
Dec 31, 2024