MillerKnoll Inc (MLKN)
Fixed asset turnover
| Nov 30, 2024 | Aug 31, 2024 | Mar 2, 2024 | Dec 2, 2023 | Sep 2, 2023 | Jun 3, 2023 | Mar 4, 2023 | Dec 3, 2022 | Sep 3, 2022 | May 28, 2022 | Feb 26, 2022 | Nov 27, 2021 | Aug 28, 2021 | May 29, 2021 | Feb 27, 2021 | Nov 28, 2020 | Aug 29, 2020 | May 30, 2020 | Feb 29, 2020 | Nov 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 3,615,500 | 3,543,600 | 7,706,000 | 7,817,700 | 7,936,600 | 8,100,200 | 4,176,800 | 4,230,500 | 4,199,000 | 3,907,600 | 3,428,600 | 2,996,200 | 2,601,900 | 2,454,300 | 2,308,500 | 2,384,400 | 2,432,800 | 2,477,600 | 2,672,900 | 2,629,100 |
| Property, plant and equipment | US$ in thousands | 484,400 | 490,100 | 506,200 | 517,900 | 529,900 | 536,300 | 542,700 | 554,600 | 559,500 | 581,500 | 584,300 | 590,800 | 611,700 | 327,200 | 326,000 | 325,900 | 327,700 | 330,800 | 341,600 | 339,800 |
| Fixed asset turnover | 7.46 | 7.23 | 15.22 | 15.09 | 14.98 | 15.10 | 7.70 | 7.63 | 7.50 | 6.72 | 5.87 | 5.07 | 4.25 | 7.50 | 7.08 | 7.32 | 7.42 | 7.49 | 7.82 | 7.74 |
November 30, 2024 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $3,615,500K ÷ $484,400K
= 7.46
The fixed asset turnover ratio for MillerKnoll Inc has shown varying trends over the past few years. The ratio measures how efficiently the company is generating sales revenue from its investment in fixed assets.
On Nov 30, 2019, the fixed asset turnover was 7.74, indicating that the company generated $7.74 in sales for every dollar of fixed assets invested. The ratio slightly decreased to 7.82 by Feb 29, 2020, before declining further to 7.49 by May 30, 2020.
However, from Nov 28, 2020, onwards, the fixed asset turnover ratio showed an increasing trend. It reached 7.50 by May 29, 2021, and further rose to 4.25 by Aug 28, 2021.
From Nov 27, 2021, to Mar 4, 2023, the ratio fluctuated between 5.07 and 15.10, showing significant volatility. The highest ratio of 15.22 was recorded on Mar 2, 2024, indicating a strong performance in generating revenue from fixed assets.
Overall, it is important for MillerKnoll Inc to maintain a balance between efficiently utilizing its fixed assets to generate sales and ensuring stability in the fixed asset turnover ratio to sustain long-term business profitability.