Innospec Inc (IOSP)
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 | 1,948,800 | 1,964,800 | 2,013,700 | 2,000,900 | 1,963,700 | 1,866,200 | 1,729,300 | 1,616,200 | 1,483,400 | 1,380,200 | 1,269,200 | 1,159,600 | 1,192,200 | 1,272,800 | 1,379,600 | 1,497,100 | 1,513,000 | 1,511,400 | 1,502,600 | 1,498,300 |
| Property, plant and equipment | US$ in thousands | 268,300 | 244,600 | 242,300 | 233,600 | 220,900 | 206,600 | 209,700 | 213,700 | 214,400 | 213,000 | 214,100 | 209,900 | 210,800 | 204,200 | 198,900 | 197,800 | 198,700 | 195,000 | 200,300 | 199,700 |
| Fixed asset turnover | 7.26 | 8.03 | 8.31 | 8.57 | 8.89 | 9.03 | 8.25 | 7.56 | 6.92 | 6.48 | 5.93 | 5.52 | 5.66 | 6.23 | 6.94 | 7.57 | 7.61 | 7.75 | 7.50 | 7.50 |
December 31, 2023 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $1,948,800K ÷ $268,300K
= 7.26
The fixed asset turnover of Innospec Inc has exhibited a declining trend over the last eight quarters. The ratio decreased from 8.89 in Q4 2022 to 7.26 in Q4 2023. This suggests that the company's ability to generate revenue from its fixed assets has weakened. However, it is important to note that a fixed asset turnover above 1 indicates efficiency in utilizing fixed assets to generate sales. Despite the decline, the ratios have generally remained above 7 in the past eight quarters, indicating that Innospec Inc has been effectively utilizing its fixed assets to generate sales revenue. Further investigation into the reasons behind the decreasing trend may be warranted to assess the company's operational efficiency and asset utilization strategies.
Peer comparison
Dec 31, 2023