Grand Canyon Education Inc (LOPE)
Fixed asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 1,033,060 | 960,866 | 911,304 | 897,963 | 839,694 |
| Property, plant and equipment | US$ in thousands | 176,823 | 169,699 | 147,504 | 136,120 | 128,657 |
| Fixed asset turnover | 5.84 | 5.66 | 6.18 | 6.60 | 6.53 |
December 31, 2024 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $1,033,060K ÷ $176,823K
= 5.84
The fixed asset turnover ratio for Grand Canyon Education Inc has shown a generally stable trend over the past five years. It stood at 6.53 in December 2020, increasing slightly to 6.60 by December 2021. However, there was a slight decline in the ratio to 6.18 in December 2022, followed by a further decrease to 5.66 in December 2023. The ratio then slightly improved to 5.84 by December 2024.
This ratio indicates how efficiently the company is utilizing its fixed assets to generate revenue. A higher turnover ratio suggests that the company is effectively using its fixed assets to generate sales. While Grand Canyon Education Inc's ratio has fluctuated somewhat over the years, it remains relatively high, indicating efficient utilization of fixed assets in revenue generation. It would be beneficial for the company to closely monitor this ratio and look for opportunities to further improve the efficiency of its fixed asset utilization in the future.
Peer comparison
Dec 31, 2024