Masimo Corporation (MASI)
Fixed asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 2,053,900 | 2,073,900 | 1,239,150 | 1,143,740 | 937,837 |
| Property, plant and equipment | US$ in thousands | 424,400 | 402,500 | 272,800 | 272,511 | 219,552 |
| Fixed asset turnover | 4.84 | 5.15 | 4.54 | 4.20 | 4.27 |
December 31, 2023 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $2,053,900K ÷ $424,400K
= 4.84
The fixed asset turnover ratio measures how efficiently Masimo Corporation is utilizing its fixed assets to generate sales revenue. A higher fixed asset turnover ratio indicates a more efficient use of fixed assets.
From 2019 to 2023, Masimo Corporation's fixed asset turnover has ranged from 4.20 to 5.15, showing a consistent performance in efficiently generating sales from its fixed assets. The trend indicates that the company has been effectively utilizing its fixed assets to generate revenue over the years.
The slight fluctuations in the ratio over the years may be attributable to changes in the company's sales volume relative to its investment in fixed assets. Overall, Masimo Corporation's fixed asset turnover ratio demonstrates a strong and stable efficiency in generating sales from its fixed assets.
Peer comparison
Dec 31, 2023