Knowles Cor (KN)
Fixed asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 553,500 | 456,800 | 764,700 | 868,100 | 764,300 |
| Property, plant and equipment | US$ in thousands | 130,100 | 143,000 | 161,800 | 200,800 | 191,500 |
| Fixed asset turnover | 4.25 | 3.19 | 4.73 | 4.32 | 3.99 |
December 31, 2024 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $553,500K ÷ $130,100K
= 4.25
Knowles Cor's fixed asset turnover ratio has shown fluctuations over the years. The ratio increased from 3.99 in 2020 to 4.32 in 2021, indicating that the company generated more revenue per dollar of fixed assets invested. This upward trend continued in 2022, with the ratio reaching 4.73, indicating improved efficiency in utilizing its fixed assets to generate sales.
However, there was a significant decline in the fixed asset turnover ratio in 2023, dropping to 3.19. This decrease suggests a potential decrease in revenue generated relative to the investment in fixed assets during that period. The company's ability to efficiently utilize its fixed assets to generate sales was impacted in this year.
In 2024, the fixed asset turnover ratio improved to 4.25, showing a recovery from the previous year's decline. This improvement indicates that Knowles Cor was able to increase its sales in relation to its fixed assets investment.
Overall, the trend in fixed asset turnover suggests that Knowles Cor has been effectively managing its fixed assets to generate revenue, with some fluctuations in efficiency over the years. Additional analysis would be needed to fully understand the factors contributing to these fluctuations and to assess the company's overall asset utilization efficiency.
Peer comparison
Dec 31, 2024