Ichor Holdings Ltd (ICHR)
Fixed asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 791,741 | 1,269,010 | 1,089,730 | 905,509 | 610,190 |
| Property, plant and equipment | US$ in thousands | 92,755 | 98,055 | 85,204 | 41,811 | 44,541 |
| Fixed asset turnover | 8.54 | 12.94 | 12.79 | 21.66 | 13.70 |
December 31, 2023 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $791,741K ÷ $92,755K
= 8.54
Ichor Holdings Ltd's fixed asset turnover has exhibited variability over the past five years. The ratio decreased from 13.70 in 2019 to 8.54 in 2023, with fluctuations in between. A higher fixed asset turnover generally indicates more efficient utilization of fixed assets to generate sales. In this case, the sharp decrease in 2023 may indicate a potential decline in sales relative to the company's fixed assets. Further investigation into the reasons behind this trend is warranted to assess the overall operational efficiency and asset management of Ichor Holdings Ltd.
Peer comparison
Dec 31, 2023