KAR Auction Services Inc (KAR)

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	1,645,100	1,626,600	1,603,300	1,570,600	1,519,400	1,504,300	1,458,400	1,450,200	1,450,600	1,622,500	1,869,000	1,912,000	2,187,700	2,329,400	2,437,700	2,737,800	2,781,900	2,704,400	2,614,900	2,519,200
Property, plant and equipment	US$ in thousands	169,800	115,100	118,900	120,400	123,600	131,300	138,500	142,200	143,500	571,100	579,600	578,200	589,900	585,200	583,700	594,000	609,000	603,100	595,000	828,300
Fixed asset turnover		9.69	14.13	13.48	13.04	12.29	11.46	10.53	10.20	10.11	2.84	3.22	3.31	3.71	3.98	4.18	4.61	4.57	4.48	4.39	3.04

December 31, 2023 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $1,645,100K ÷ $169,800K
= 9.69

Openlane Inc.'s fixed asset turnover ratio has shown fluctuations over the past quarters, ranging from 9.69 to 14.34. The ratio indicates the efficiency of the company in generating sales revenue from its investment in fixed assets.

The trend shows an overall stability and efficiency in utilizing fixed assets to generate sales revenue. The higher the ratio, the better the company is utilizing its fixed assets to generate revenue.

In analyzing the data, we can see that the fixed asset turnover was relatively lower in Q4 2023 compared to the previous quarter, which may suggest a decrease in the efficiency of utilizing fixed assets to generate sales. However, the ratio remains relatively high, indicating that Openlane Inc. is effectively using its fixed assets to generate revenue.

Overall, the trend of the fixed asset turnover ratio for Openlane Inc. reflects a consistent and efficient utilization of fixed assets to generate sales revenue, though some fluctuations are observed in the short term. Further analysis and comparison with industry benchmarks could provide additional insights into the company's performance in this aspect.