Motorola Solutions Inc (MSI)

Fixed asset turnover

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Revenue	US$ in thousands	10,817,000	9,978,000	9,112,000	8,171,000	7,414,000
Property, plant and equipment	US$ in thousands	—	—	1,412,000	1,424,000	1,022,000
Fixed asset turnover		—	—	6.45	5.74	7.25

December 31, 2024 calculation

Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $10,817,000K ÷ $—K
= —

The fixed asset turnover ratio reflects how efficiently Motorola Solutions Inc generates sales revenue from its investment in fixed assets. The trend of the fixed asset turnover ratio over the years indicates the company's ability to utilize its fixed assets effectively.

The fixed asset turnover ratio was 7.25 in 2020, which means that the company generated $7.25 in sales for every $1 of fixed assets invested. In 2021, the ratio decreased to 5.74, suggesting a decrease in the efficiency of utilizing fixed assets to generate revenue. However, it improved in 2022 to 6.45, indicating a better utilization of fixed assets compared to the previous year.

Unfortunately, data for 2023 and 2024 is not available (indicated as "—"), making it difficult to assess the trend beyond 2022. The absence of data for these years may indicate incomplete information or changes in reporting practices.

In conclusion, the trend of the fixed asset turnover ratio for Motorola Solutions Inc shows fluctuations in the efficiency of generating sales from fixed assets. It is essential for the company to continue monitoring and improving this ratio to ensure optimal utilization of its fixed assets for revenue generation.