Marathon Petroleum Corp (MPC)
Fixed asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 148,082,000 | 176,526,000 | 119,456,000 | 68,692,000 | 123,949,000 |
| Property, plant and equipment | US$ in thousands | 33,919,000 | 34,376,000 | 35,483,000 | 39,035,000 | 40,870,000 |
| Fixed asset turnover | 4.37 | 5.14 | 3.37 | 1.76 | 3.03 |
December 31, 2023 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $148,082,000K ÷ $33,919,000K
= 4.37
The fixed asset turnover ratio for Marathon Petroleum Corp has fluctuated over the past five years. The ratio was at its highest in 2022, standing at 5.00, indicating that the company generated $5.00 in revenue for every $1.00 invested in fixed assets during that year. This suggests efficient utilization of fixed assets to generate sales.
In 2023, the fixed asset turnover ratio decreased to 4.25, still signaling a relatively efficient use of fixed assets. The trend observed over the years reflects some variability in how effectively Marathon Petroleum Corp is generating sales from its fixed assets, with the 2022 performance standing out as particularly strong.
Overall, the company has shown a generally healthy ability to generate revenue from its investment in fixed assets, albeit with some fluctuations. Further analysis of the underlying factors influencing these trends would provide a more in-depth understanding of the company's operational efficiency and asset utilization strategies.
Peer comparison
Dec 31, 2023