Jack In The Box Inc (JACK)

Fixed asset turnover

		Sep 30, 2024	Sep 30, 2023	Sep 30, 2022	Sep 30, 2021	Sep 30, 2020
Revenue	US$ in thousands	1,571,310	1,692,310	1,468,080	1,143,670	1,021,510
Property, plant and equipment	US$ in thousands	430,039	412,030	418,164	322,914	335,982
Fixed asset turnover		3.65	4.11	3.51	3.54	3.04

September 30, 2024 calculation

Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $1,571,310K ÷ $430,039K
= 3.65

Fixed asset turnover is a financial ratio that measures a company's ability to generate revenue from its investment in fixed assets. Jack In The Box Inc's fixed asset turnover has shown fluctuations over the past five years. In the most recent fiscal year ending on September 30, 2024, the fixed asset turnover was 3.65, indicating that the company generated $3.65 in revenue for every $1 invested in fixed assets.

Comparing this to the previous four years, we observe a peak in fixed asset turnover in September 2023, with a ratio of 4.11, suggesting that the company was more efficient at utilizing its fixed assets to generate revenue that year. The fixed asset turnover dropped slightly in September 2022 and September 2021 to 3.51 and 3.54 respectively, but remained relatively stable.

In September 2020, the fixed asset turnover was the lowest at 3.04, indicating that the company was less efficient in generating revenue from its fixed assets that year compared to the other periods.

Overall, Jack In The Box Inc's fixed asset turnover has shown some variability, with fluctuations in efficiency in utilizing its fixed assets to generate revenue over the past five years. Further analysis would be beneficial to understand the factors influencing these fluctuations and to determine strategies for optimizing the company's asset utilization in the future.