Nordstrom Inc (JWN)
Fixed asset turnover
| Feb 3, 2024 | Jan 28, 2023 | Jan 29, 2022 | Jan 30, 2021 | Feb 1, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 14,693,000 | 15,530,000 | 14,789,000 | 10,715,000 | 15,524,000 |
| Property, plant and equipment | US$ in thousands | 3,177,000 | 3,351,000 | 3,562,000 | 3,732,000 | 4,179,000 |
| Fixed asset turnover | 4.62 | 4.63 | 4.15 | 2.87 | 3.71 |
February 3, 2024 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $14,693,000K ÷ $3,177,000K
= 4.62
The fixed asset turnover ratio of Nordstrom Inc has exhibited fluctuations over the past five years. In the latest fiscal year ending on Feb 3, 2024, the ratio stood at 4.62, indicating that the company generated $4.62 in revenue for each dollar invested in fixed assets. This marks a slight decrease compared to the previous year's ratio of 4.63.
In comparison to the ratio from three years ago, which was 4.15 on Jan 29, 2022, the firm has shown an improvement in efficiency in utilizing its fixed assets to generate revenue. The ratio has increased by 0.47 over this period, signifying enhanced productivity.
Furthermore, when looking at the data from two and three years ago, we can observe a notable upward trend in the fixed asset turnover ratio, suggesting that Nordstrom Inc has been more effective in leveraging its fixed assets to generate sales over the past few years. However, the ratio experienced a dip on Jan 30, 2021, before rebounding in the subsequent years.
Overall, the fluctuation in Nordstrom Inc's fixed asset turnover ratio indicates varying levels of efficiency in generating sales from its fixed asset base over the past five years. Continued monitoring of this ratio will be crucial to evaluate the company's management of its fixed assets in the future.
Peer comparison
Feb 3, 2024