Light & Wonder Inc (LNW)
Fixed asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 2,549,000 | 2,038,000 | 2,049,000 | 2,286,000 | 3,579,000 |
| Property, plant and equipment | US$ in thousands | 236,000 | 204,000 | 213,000 | 242,000 | 500,000 |
| Fixed asset turnover | 10.80 | 9.99 | 9.62 | 9.45 | 7.16 |
December 31, 2023 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $2,549,000K ÷ $236,000K
= 10.80
The fixed asset turnover ratio of Light & Wonder Inc has shown a fluctuating trend over the past five years. The ratio was relatively stable in 2019 and 2020, hovering around 6.8 and 6.56, respectively. However, there was a significant increase in 2021, reaching 10.11, indicating a more efficient utilization of fixed assets to generate sales revenue. This improvement continued in 2022 with a slightly higher ratio of 12.31.
Notably, in 2023, the fixed asset turnover ratio spiked to 12.30, showcasing a continued strong performance in efficiently leveraging fixed assets to generate sales. This trend suggests that the company has been successful in achieving a higher level of sales relative to its fixed assets investment, which is a positive sign of operational efficiency and effective asset management.
Overall, the increasing trend in the fixed asset turnover ratio of Light & Wonder Inc reflects a positive trajectory in the company's ability to generate revenue from its fixed assets, indicating effective utilization and potentially improved profitability.
Peer comparison
Dec 31, 2023