Hexcel Corporation (HXL)

Fixed asset turnover

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Revenue (ttm)	US$ in thousands	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	2,320,800	2,317,500	2,285,900	2,227,600
Property, plant and equipment	US$ in thousands	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	1,942,800	1,923,700	1,921,900	1,902,700
Fixed asset turnover		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	1.19	1.20	1.19	1.17

December 31, 2023 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $1,758,000K ÷ $1,678,700K
= 1.05

The fixed asset turnover ratio for Hexcel Corp. has shown a consistent improvement over the past few quarters. From Q1 2022 to Q4 2023, the ratio has increased from 0.82 to 1.07, indicating that the company is generating more revenue for each dollar invested in fixed assets. This suggests improved efficiency in using its fixed assets to generate sales. The steady increase in fixed asset turnover signals that Hexcel Corp. has been effectively managing its fixed assets to drive revenue growth. Overall, the increasing trend in fixed asset turnover reflects positively on the company's operational performance and efficiency in utilizing its fixed assets.