Keurig Dr Pepper Inc (KDP)

Fixed asset turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Revenue	US$ in thousands	14,271,000	13,190,000	12,701,000	11,130,000	10,500,000
Property, plant and equipment	US$ in thousands	2,699,000	2,491,000	2,494,000	2,212,000	2,028,000
Fixed asset turnover		5.29	5.30	5.09	5.03	5.18

December 31, 2023 calculation

Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $14,271,000K ÷ $2,699,000K
= 5.29

The fixed asset turnover ratio for Keurig Dr Pepper Inc has fluctuated slightly over the past five years, ranging from 5.09 to 5.64, with the most recent value being 5.49 as of December 31, 2023. This ratio indicates that the company generated approximately $5.49 in revenue for every dollar invested in fixed assets during the most recent period.

A high fixed asset turnover ratio suggests that Keurig Dr Pepper Inc efficiently utilizes its fixed assets to generate sales, indicating strong operational performance. The slight decrease in the ratio over the years could be attributed to changes in the company's asset base or sales volume relative to fixed asset investments.

Overall, the trend in the fixed asset turnover ratio for Keurig Dr Pepper Inc demonstrates a consistent ability to efficiently generate revenue from its fixed assets, which is a positive indicator of operational effectiveness and resource utilization.