Inspire Medical Systems Inc (INSP)
Fixed asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 802,804 | 624,799 | 406,179 | 231,266 | 113,364 |
| Property, plant and equipment | US$ in thousands | 71,925 | 39,984 | 17,249 | 8,486 | 5,311 |
| Fixed asset turnover | 11.16 | 15.63 | 23.55 | 27.25 | 21.35 |
December 31, 2024 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $802,804K ÷ $71,925K
= 11.16
Fixed asset turnover is a financial ratio that measures a company's efficiency in generating sales revenue from its investment in fixed assets. In the case of Inspire Medical Systems Inc, the fixed asset turnover has fluctuated over the years.
Starting at 21.35 in December 31, 2020, the company's fixed asset turnover increased to 27.25 by December 31, 2021, indicating an improvement in utilization of fixed assets to generate revenue. However, there was a slight drop to 23.55 by December 31, 2022.
The trend shifted notably by December 31, 2023, when the fixed asset turnover dropped to 15.63. This could suggest a potential decrease in the efficiency of Inspire Medical Systems Inc in utilizing its fixed assets to generate sales during that year.
The lowest point was reached by December 31, 2024, with a fixed asset turnover of 11.16, indicating a significant decrease in the company's ability to generate sales from its investment in fixed assets.
Overall, the trend in Inspire Medical Systems Inc's fixed asset turnover shows some fluctuations, with periods of improvement and decline. Further analysis of the company's investment in fixed assets and sales performance would be necessary to understand the factors driving these changes and to make informed decisions regarding operational efficiency and future investments.
Peer comparison
Dec 31, 2024