IAC Inc. (IAC)
Fixed asset turnover
| 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 | 4,210,640 | 4,365,230 | 4,553,650 | 4,743,210 | 4,994,200 | 5,235,270 | 5,148,260 | 4,771,428 | 4,238,395 | 3,699,625 | 3,114,950 | 2,976,428 | 2,873,086 | 2,768,435 | |||
| Property, plant and equipment | US$ in thousands | 424,534 | 455,281 | 478,260 | 494,627 | 461,871 | 510,614 | 583,888 | 586,356 | 576,787 | 570,525 | 289,794 | 273,555 | 279,501 | 274,930 | 265,818 | 269,221 | 271,477 |
| Fixed asset turnover | 9.92 | 9.59 | 9.52 | 9.59 | 10.81 | 10.25 | 8.82 | 8.14 | 7.35 | 6.48 | 10.75 | 10.88 | 10.28 | 10.07 |
March 31, 2024 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $4,210,640K ÷ $424,534K
= 9.92
Fixed asset turnover ratio measures how efficiently a company utilizes its fixed assets to generate revenue. A higher fixed asset turnover ratio indicates better asset utilization. Looking at the trend for IAC Inc., we observe fluctuations in the ratio over the periods.
From Mar 31, 2024, to Dec 31, 2020, the fixed asset turnover ratio ranged from 6.48 to 10.81, showing variability in asset utilization efficiency. The ratio peaked at 10.81 on Mar 31, 2023, indicating a strong performance in generating revenue relative to the value of fixed assets.
However, there was a decrease in the ratio to 7.35 on Mar 31, 2022, which could suggest a decline in the efficiency of utilizing fixed assets to generate revenue during that period. This trend continued to Mar 31, 2022, where the ratio reached 9.92, indicating an improvement in asset turnover efficiency compared to the previous quarter.
Overall, the fluctuations in the fixed asset turnover ratio for IAC Inc. indicate varying levels of efficiency in utilizing fixed assets to generate revenue over the analyzed periods. It is essential for the company to assess the reasons behind these fluctuations and strive for consistent and optimal asset utilization to drive overall operational performance and profitability.
Peer comparison
Mar 31, 2024