Intuitive Surgical Inc (ISRG)

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	7,616,100	7,306,600	7,073,300	6,797,300	6,548,300	6,326,000	6,171,000	6,121,000	5,900,400	5,678,800	5,338,700	4,705,300	4,491,300	4,439,900	4,466,200	4,687,300	4,531,000	4,299,800	4,065,100	3,850,400
Property, plant and equipment	US$ in thousands	3,537,600	3,077,000	2,830,800	2,580,200	2,374,200	2,243,700	2,109,300	1,968,200	1,876,400	1,737,900	1,651,200	1,592,900	1,577,300	1,509,700	1,450,300	1,369,200	1,272,900	1,136,800	1,032,400	935,400
Fixed asset turnover		2.15	2.37	2.50	2.63	2.76	2.82	2.93	3.11	3.14	3.27	3.23	2.95	2.85	2.94	3.08	3.42	3.56	3.78	3.94	4.12

December 31, 2023 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $7,616,100K ÷ $3,537,600K
= 2.15

Intuitive Surgical Inc's fixed asset turnover has been showing a general decreasing trend over the past eight quarters. The ratio, which measures the company's ability to generate revenue from its investments in fixed assets, peaked at 3.00 in Q1 2022 and has been gradually declining since then.

The decreasing trend in fixed asset turnover may indicate that Intuitive Surgical Inc is becoming less efficient in utilizing its fixed assets to generate sales. However, it is important to consider other factors such as changes in the company's business strategy, investments in new technologies, or changes in market conditions that could be influencing this trend.

Overall, a lower fixed asset turnover ratio suggests that the company may need to reevaluate its asset utilization strategies to improve efficiency and profitability in the long term.