WK Kellogg Co (KLG)
Fixed asset turnover
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | ||
|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 2,704,000 | 2,695,000 | 2,698,000 |
| Property, plant and equipment | US$ in thousands | 786,000 | 764,000 | 748,000 |
| Fixed asset turnover | 3.44 | 3.53 | 3.61 |
December 31, 2024 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $2,704,000K ÷ $786,000K
= 3.44
To analyze WK Kellogg Co's fixed asset turnover, we look at how efficiently the company generates revenue from its fixed assets. The fixed asset turnover ratio is calculated by dividing net sales by average fixed assets.
Based on the data provided:
- As of June 30, 2024, the fixed asset turnover ratio is 3.61.
- By September 30, 2024, the ratio decreased to 3.53.
- As of December 31, 2024, the ratio further declined to 3.44.
A consistently high fixed asset turnover ratio indicates that WK Kellogg Co is effectively utilizing its fixed assets to generate sales. However, the decreasing trend in the ratio over the three periods may suggest a potential decline in efficiency in generating revenue from fixed assets. Further analysis is warranted to understand the factors contributing to this trend and to assess the company's overall asset utilization efficiency.
Peer comparison
Dec 31, 2024