Johnson Controls International PLC (JCI)
Fixed asset turnover
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 22,947,000 | 26,703,000 | 25,213,000 | 23,883,000 | 22,321,000 |
| Property, plant and equipment | US$ in thousands | 2,403,000 | 2,374,000 | 3,131,000 | 3,228,000 | 3,059,000 |
| Fixed asset turnover | 9.55 | 11.25 | 8.05 | 7.40 | 7.30 |
September 30, 2024 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $22,947,000K ÷ $2,403,000K
= 9.55
The fixed asset turnover ratio for Johnson Controls International PLC has exhibited some fluctuations over the past five fiscal years. The ratio stood at 9.55 in Sep 30, 2024, down from 11.25 in the previous year and 8.05 in Sep 30, 2022. This indicates that the company generated $9.55 in sales for every dollar invested in fixed assets in the most recent fiscal year.
The downward trend in fixed asset turnover from 2023 to 2024 suggests that the company may be becoming less efficient in utilizing its fixed assets to generate sales. However, it's worth noting that a fixed asset turnover ratio above 1 indicates efficient use of fixed assets to generate revenue.
Comparing the current ratio to previous years, Johnson Controls International PLC seems to have experienced a peak in efficiency in 2023 when the ratio was the highest at 11.25. There was a slight decline in 2024 compared to 2023. Further analysis of the company's operational and strategic aspects would be necessary to understand the reasons behind these fluctuations and to assess their potential impact on the company's performance and long-term sustainability.
Peer comparison
Sep 30, 2024