Incyte Corporation (INCY)

Fixed asset turnover

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Revenue	US$ in thousands	4,241,220	3,693,100	3,394,640	2,986,270	2,666,700
Property, plant and equipment	US$ in thousands	763,411	751,513	739,310	723,920	559,625
Fixed asset turnover		5.56	4.91	4.59	4.13	4.77

December 31, 2024 calculation

Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $4,241,220K ÷ $763,411K
= 5.56

Fixed asset turnover measures how efficiently a company generates sales revenue from its investment in fixed assets. Looking at the data provided for Incyte Corporation:

- In 2020, the fixed asset turnover ratio was 4.77, indicating that for every $1 invested in fixed assets, the company generated $4.77 in sales.
- The ratio decreased to 4.13 in 2021, suggesting a slight decline in efficiency in utilizing fixed assets to generate revenue.
- In 2022, the ratio improved to 4.59, showing a positive trend in utilizing fixed assets more effectively to drive sales.
- By 2023, the fixed asset turnover further increased to 4.91, indicating continued improvement in generating sales from fixed assets.
- Lastly, in 2024, the ratio significantly rose to 5.56, demonstrating a notable enhancement in efficiency in utilizing fixed assets to generate revenue.

Overall, Incyte Corporation has generally shown an improving trend in its fixed asset turnover over the analyzed period, with the company becoming more efficient in generating sales from its fixed asset investments.