Stride Inc (LRN)

Fixed asset turnover

		Jun 30, 2024	Jun 30, 2023	Jun 30, 2022	Jun 30, 2021	Jun 30, 2020
Revenue	US$ in thousands	2,035,790	1,835,280	1,684,900	1,535,650	1,040,700
Property, plant and equipment	US$ in thousands	50,856	52,332	61,537	72,069	38,668
Fixed asset turnover		40.03	35.07	27.38	21.31	26.91

June 30, 2024 calculation

Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $2,035,790K ÷ $50,856K
= 40.03

The fixed asset turnover ratio measures how efficiently a company is generating revenue from its investment in fixed assets. A higher fixed asset turnover indicates that the company is generating more revenue per dollar invested in fixed assets.

Looking at the trend of Stride Inc's fixed asset turnover over the past five years, we can see a generally increasing pattern. The ratio has improved from 26.91 in 2020 to 40.03 in 2024. This indicates that the company is utilizing its fixed assets more efficiently to generate sales revenue.

The substantial increase in fixed asset turnover from 2020 to 2024 suggests that Stride Inc has been able to significantly boost its revenue generation relative to its fixed asset base. This could be due to factors like operational efficiency improvements, better asset utilization, or strategic investments in revenue-generating assets.

Overall, the trend of increasing fixed asset turnover for Stride Inc reflects positively on the company's ability to generate sales from its fixed assets. However, further analysis and consideration of other financial metrics would be needed to provide a more comprehensive assessment of the company's overall financial performance and efficiency.