Kinder Morgan Inc (KMI)

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	15,334,000	15,875,000	17,145,000	18,795,000	19,200,000	19,046,000	17,693,000	15,692,000	16,610,000	15,300,000	14,395,000	13,805,000	11,700,000	11,937,000	12,232,000	12,886,000	13,209,000	13,638,000	13,941,000	14,155,000
Property, plant and equipment	US$ in thousands	37,297,000	35,944,000	35,759,000	35,639,000	35,599,000	35,534,000	35,530,000	35,557,000	35,653,000	35,576,000	34,570,000	35,605,000	35,836,000	35,958,000	36,027,000	36,041,000	36,419,000	37,934,000	37,840,000	37,782,000
Fixed asset turnover		0.41	0.44	0.48	0.53	0.54	0.54	0.50	0.44	0.47	0.43	0.42	0.39	0.33	0.33	0.34	0.36	0.36	0.36	0.37	0.37

December 31, 2023 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $15,334,000K ÷ $37,297,000K
= 0.41

Fixed asset turnover measures how efficiently a company generates revenue from its fixed assets. Looking at Kinder Morgan Inc's fixed asset turnover over the past 8 quarters, there is a fluctuating trend observed. The fixed asset turnover ratio ranged from 0.41 to 0.54 during this period.

In the most recent quarter, Q4 2023, the fixed asset turnover ratio was 0.41, indicating that for every dollar invested in fixed assets, the company generated $0.41 in revenue. This marks a decrease from the previous quarter. It is important to note that a decreasing trend in fixed asset turnover may suggest inefficiencies in asset utilization.

However, the company showed relatively stable fixed asset turnover in the range of 0.44 to 0.54 in the previous quarters, indicating generally consistent performance in generating revenue from its fixed assets.

Overall, the trend in Kinder Morgan Inc's fixed asset turnover ratio suggests some variability in how efficiently the company is utilizing its fixed assets to generate revenue. Further analysis and comparison with industry peers may provide more insights into the company's asset management strategies.