Lamb Weston Holdings Inc (LW)
Fixed asset turnover
| May 31, 2025 | Feb 28, 2025 | Nov 30, 2024 | Aug 31, 2024 | May 31, 2024 | May 26, 2024 | Feb 29, 2024 | Feb 25, 2024 | Nov 30, 2023 | Nov 26, 2023 | Aug 31, 2023 | Aug 27, 2023 | May 31, 2023 | May 28, 2023 | Feb 28, 2023 | Feb 26, 2023 | Nov 30, 2022 | Nov 27, 2022 | Aug 31, 2022 | Aug 28, 2022 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 6,451,300 | 6,387,400 | 6,480,200 | 6,337,600 | 6,132,800 | 6,253,000 | 6,381,000 | 6,588,000 | 6,796,600 | 6,759,400 | 6,712,200 | 6,300,500 | 5,896,200 | 5,477,800 | 5,060,200 | 4,932,200 | 4,804,200 | 4,680,800 | 4,554,000 | 4,383,400 |
| Property, plant and equipment | US$ in thousands | — | 3,699,200 | 3,729,300 | 3,819,100 | — | 3,578,900 | — | 3,406,400 | 3,313,600 | 3,173,600 | 3,154,200 | 3,008,600 | 2,954,100 | 2,804,200 | 2,017,800 | 1,867,300 | 1,872,100 | 1,758,200 | 1,803,200 | 1,690,900 |
| Fixed asset turnover | — | 1.73 | 1.74 | 1.66 | — | 1.75 | — | 1.93 | 2.05 | 2.13 | 2.13 | 2.09 | 2.00 | 1.95 | 2.51 | 2.64 | 2.57 | 2.66 | 2.53 | 2.59 |
May 31, 2025 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $6,451,300K ÷ $—K
= —
The fixed asset turnover ratio for Lamb Weston Holdings Inc. has exhibited fluctuations over the observed period, reflecting changes in the company's efficiency in utilizing its fixed assets to generate sales.
Between August 28, 2022, and November 27, 2022, the ratio increased from 2.59 to 2.66, indicating an improvement in asset utilization. This upward trend persisted into early 2023, with the ratio reaching 2.64 by February 26, 2023, suggesting the company was effectively leveraging its fixed assets during this period.
However, starting from late May 2023, a noticeable decline in the ratio occurs. From a peak of approximately 2.00 around May 31, 2023, the ratio decreases to 2.13 by August 31, 2023, then remains relatively stable into November 2023 at roughly the same level. Subsequently, into early 2024, the ratio declines further, reaching approximately 1.93 by February 25, 2024, with missing data for February 29, 2024. The downward trajectory continues through May 2024 and August 2024, with values dropping to around 1.66 and 1.74 respectively, indicating a reduction in asset efficiency.
Overall, this downward trend suggests that the company has experienced a decrease in the effectiveness of its fixed assets in generating sales over the recent periods. The ratio's decline could be attributable to several factors, such as increased asset base without a proportional increase in sales, technological obsolescence, or operational adjustments impacting asset utilization. The data also shows some variability, but the general pattern points to a decrease in fixed asset efficiency from mid-2023 onwards.
It is noteworthy that certain periods lack data, such as May and June 2024, which limits continuous trend assessment. Nevertheless, the available figures clearly demonstrate a reduction in fixed asset turnover, highlighting potential areas for efficiency improvement or strategic reassessment in asset management.
Peer comparison
May 31, 2025