Kraft Heinz Co (KHC)
Fixed asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 25,795,000 | 25,669,000 | 25,743,000 | 23,232,000 | 24,638,000 |
| Property, plant and equipment | US$ in thousands | 7,004,000 | 6,987,000 | 6,619,000 | 6,680,000 | 6,681,000 |
| Fixed asset turnover | 3.68 | 3.67 | 3.89 | 3.48 | 3.69 |
December 31, 2024 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $25,795,000K ÷ $7,004,000K
= 3.68
The fixed asset turnover ratio for Kraft Heinz Co has shown some fluctuation over the past five years. Starting at 3.69 in December 2020, the ratio decreased to 3.48 by December 2021, indicating a slight decrease in the efficiency of utilizing fixed assets to generate revenues. However, the ratio rebounded to 3.89 by December 2022, reaching its highest point in the given period.
Despite the subsequent decrease to 3.67 by December 2023 and a slight increase to 3.68 by December 2024, the company has generally maintained a fairly stable level of fixed asset turnover. This suggests that Kraft Heinz Co has been effectively utilizing its fixed assets to generate revenue, with the ratio hovering around the 3.6 to 3.9 range over the years.
Overall, while there have been some fluctuations in the fixed asset turnover ratio, Kraft Heinz Co has demonstrated efficiency in generating revenue relative to its investment in fixed assets during the period under review.
Peer comparison
Dec 31, 2024