Lockheed Martin Corporation (LMT)
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 | 67,571,000 | 67,688,000 | 67,393,000 | 66,146,000 | 65,984,000 | 64,722,000 | 64,167,000 | 65,750,000 | 67,044,000 | 66,347,000 | 66,814,000 | 66,005,000 | 65,398,000 | 64,244,000 | 62,920,000 | 61,127,000 | 59,812,000 | 58,345,000 | 57,492,000 | 56,463,000 |
| Property, plant and equipment | US$ in thousands | 8,370,000 | 8,046,000 | 7,966,000 | 7,938,000 | 7,975,000 | 7,629,000 | 7,569,000 | 7,561,000 | 7,597,000 | 7,332,000 | 7,290,000 | 7,213,000 | 7,213,000 | 6,803,000 | 6,663,000 | 6,605,000 | 6,591,000 | 6,240,000 | 6,170,000 | 6,140,000 |
| Fixed asset turnover | 8.07 | 8.41 | 8.46 | 8.33 | 8.27 | 8.48 | 8.48 | 8.70 | 8.83 | 9.05 | 9.17 | 9.15 | 9.07 | 9.44 | 9.44 | 9.25 | 9.07 | 9.35 | 9.32 | 9.20 |
December 31, 2023 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $67,571,000K ÷ $8,370,000K
= 8.07
Sure, I'd be happy to help. The fixed asset turnover ratio measures how efficiently a company is generating revenue from its investment in fixed assets, such as property, plant, and equipment. It is calculated by dividing net sales by average fixed assets.
Looking at the data for Lockheed Martin Corp., we can see that the company has maintained a consistently high fixed asset turnover ratio over the past year. The ratios ranged from 8.07 to 8.70, indicating that, on average, the company generated approximately 8 times the amount of its fixed assets in sales.
This high fixed asset turnover ratio suggests that Lockheed Martin Corp. is effectively utilizing its investment in fixed assets to generate sales. It is important to note that while a high fixed asset turnover ratio is generally positive, it's also essential to consider other factors such as industry benchmarks and the company's specific business model to fully assess the efficiency of its asset utilization.
See also:
Lockheed Martin Corporation Net Fixed Asset Turnover (Quarterly Data)