MSA Safety (MSA)

Fixed asset turnover

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Revenue (ttm)	US$ in thousands	1,787,646	1,708,559	1,648,578	1,586,762	1,527,954	1,483,509	1,447,089	1,415,368	1,400,181	1,370,674	1,338,733	1,315,694	1,348,223	1,335,229	1,381,851	1,417,088	1,401,981	1,388,510	1,368,592	1,358,248
Property, plant and equipment	US$ in thousands	211,877	205,650	206,066	207,115	207,552	199,530	203,036	205,995	207,793	204,410	201,163	197,832	189,620	178,064	170,184	163,141	167,038	158,957	158,047	156,099
Fixed asset turnover		8.44	8.31	8.00	7.66	7.36	7.44	7.13	6.87	6.74	6.71	6.65	6.65	7.11	7.50	8.12	8.69	8.39	8.74	8.66	8.70

December 31, 2023 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $1,787,646K ÷ $211,877K
= 8.44

The fixed asset turnover ratio for MSA Safety Inc has shown a relatively stable and positive trend over the past eight quarters. This ratio measures how efficiently the company is utilizing its fixed assets to generate revenue. The consistent high values of the ratio, ranging from 6.91 to 8.44, indicate that MSA Safety Inc is effectively leveraging its fixed assets to generate sales.

The steady increase in the fixed asset turnover ratio from 6.91 in Q1 2022 to 8.44 in Q4 2023 suggests improvements in the company's asset utilization efficiency over time. This trend is a positive indicator of operational efficiency and management's ability to maximize the productivity of fixed assets.

Overall, the fixed asset turnover ratio demonstrates MSA Safety Inc's ability to generate revenue relative to its investment in fixed assets. It indicates a healthy performance in utilizing fixed assets efficiently to drive sales, which is essential for sustaining and growing the company's business operations.