Kinder Morgan Inc (KMI)

Fixed asset turnover

Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 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
Revenue (ttm) US$ in thousands 15,100,000 15,151,000 15,359,000 15,288,000 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
Property, plant and equipment US$ in thousands 38,013,000 37,709,000 37,533,000 37,313,000 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
Fixed asset turnover 0.40 0.40 0.41 0.41 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

December 31, 2024 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $15,100,000K ÷ $38,013,000K
= 0.40

Fixed asset turnover is a financial ratio that measures a company's ability to generate revenue from its fixed assets. It is calculated by dividing total revenue by average fixed assets.

Analyzing the data provided for Kinder Morgan Inc, we can see that the fixed asset turnover ratio has fluctuated over the years. It was relatively low at 0.36 as of March 31, 2020, and showed a declining trend until September 30, 2021, reaching 0.33. However, there was a noticeable improvement in the ratio from March 31, 2022, onwards, reaching a peak of 0.54 on December 31, 2022.

Subsequently, the ratio experienced some fluctuation but generally remained in the range of 0.40 to 0.54 until December 31, 2024, indicating that the company was effectively utilizing its fixed assets to generate revenue during this period.

Overall, the trend in Kinder Morgan Inc's fixed asset turnover ratio suggests that the company has made improvements in efficiently utilizing its fixed assets to generate revenue over the years covered in the data provided.


See also:

Kinder Morgan Inc Net Fixed Asset Turnover (Quarterly Data)