MSA Safety (MSA)
Fixed asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 1,787,650 | 1,527,950 | 1,400,180 | 1,348,220 | 1,401,980 |
| Property, plant and equipment | US$ in thousands | 211,877 | 207,552 | 207,793 | 189,620 | 167,038 |
| Fixed asset turnover | 8.44 | 7.36 | 6.74 | 7.11 | 8.39 |
December 31, 2023 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $1,787,650K ÷ $211,877K
= 8.44
The fixed asset turnover ratio for MSA Safety Inc has shown a fluctuating trend over the past five years. Beginning at 8.39 in 2019, the ratio decreased to 7.11 in 2020 before increasing to 6.74 in 2021. Subsequently, there was a notable improvement in 2022 with a ratio of 7.36, followed by a significant surge to 8.44 in 2023.
The increasing trend in the fixed asset turnover ratio indicates that MSA Safety Inc has been more efficient in generating sales revenue relative to its investment in fixed assets in recent years. This improvement may signify enhanced operational efficiency, better utilization of fixed assets, or increased sales volume. It suggests that the company is effectively utilizing its fixed assets to support revenue generation.
Overall, the upward trajectory of the fixed asset turnover ratio suggests that MSA Safety Inc has been successful in optimizing the productivity of its fixed assets, which may contribute positively to its financial performance and profitability in the future.
Peer comparison
Dec 31, 2023