Kellanova (K)
Fixed asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 13,122,000 | 12,653,000 | 14,181,000 | 13,770,000 | 13,578,000 |
| Property, plant and equipment | US$ in thousands | 3,212,000 | 3,090,000 | 3,827,000 | 3,713,000 | 3,612,000 |
| Fixed asset turnover | 4.09 | 4.09 | 3.71 | 3.71 | 3.76 |
December 31, 2023 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $13,122,000K ÷ $3,212,000K
= 4.09
The fixed asset turnover ratio for Kellanova has been relatively stable over the past five years, ranging from 3.71 to 4.09. This indicates that, on average, the company generates $4.09 of revenue for every dollar invested in fixed assets.
A higher fixed asset turnover ratio generally suggests that the company is effectively utilizing its fixed assets to generate sales. In Kellanova's case, the consistent ratio above 3 indicates that the company is efficiently using its fixed assets to generate revenue.
However, it is important to note that the fixed asset turnover ratio should be considered in conjunction with other financial measures to provide a comprehensive analysis of the company's operational efficiency. Additionally, further analysis and comparison with industry benchmarks would be beneficial to evaluate Kellanova's performance relative to its peers.
Peer comparison
Dec 31, 2023