L3Harris Technologies Inc (LHX)
Fixed asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 21,325,000 | 19,419,000 | 17,062,000 | 17,814,000 | 18,194,000 |
| Property, plant and equipment | US$ in thousands | — | — | — | 2,870,000 | 2,102,000 |
| Fixed asset turnover | — | — | — | 6.21 | 8.66 |
December 31, 2024 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $21,325,000K ÷ $—K
= —
The fixed asset turnover ratio measures a company's efficiency in generating revenue from its investment in fixed assets. For L3Harris Technologies Inc, the fixed asset turnover ratio has shown a decreasing trend over the past few years.
In 2020, the fixed asset turnover was 8.66, indicating that the company generated $8.66 in sales for every $1 invested in fixed assets. However, this ratio decreased to 6.21 in 2021, suggesting a decline in the company's ability to utilize its fixed assets efficiently to generate revenue.
The lack of data for 2022, 2023, and 2024 makes it challenging to assess the current trend accurately. It is important for the company to monitor and improve its fixed asset turnover ratio to ensure optimal utilization of its fixed assets and maximize revenue generation.
Peer comparison
Dec 31, 2024