MasTec Inc (MTZ)
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 | 11,995,910 | 11,724,180 | 10,980,560 | 10,408,250 | 9,777,990 | 8,579,070 | 8,469,890 | 8,130,800 | 7,951,820 | 7,779,220 | 7,073,200 | 6,679,800 | 6,320,980 | 6,393,480 | 6,711,800 | 7,081,500 | 7,183,200 | 7,391,500 | 7,352,100 | 7,030,900 |
| Property, plant and equipment | US$ in thousands | 1,178,160 | 1,246,340 | 1,252,170 | 1,218,200 | 1,218,800 | 1,129,560 | 1,119,530 | 1,026,380 | 967,587 | 600,158 | 634,934 | 1,024,510 | 982,328 | 994,200 | 972,177 | 937,309 | 905,835 | 862,900 | 852,804 | 799,479 |
| Fixed asset turnover | 10.18 | 9.41 | 8.77 | 8.54 | 8.02 | 7.60 | 7.57 | 7.92 | 8.22 | 12.96 | 11.14 | 6.52 | 6.43 | 6.43 | 6.90 | 7.56 | 7.93 | 8.57 | 8.62 | 8.79 |
December 31, 2023 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $11,995,910K ÷ $1,178,160K
= 10.18
The fixed asset turnover ratio measures how efficiently a company is using its fixed assets to generate revenue. MasTec Inc's fixed asset turnover has shown some fluctuations over the past few quarters, ranging from a low of 6.43 to a high of 12.96.
In general, the higher the fixed asset turnover ratio, the better, as it indicates that the company is generating more revenue from its fixed assets. MasTec's fixed asset turnover has been relatively high, with the ratio consistently above 7. This suggests that MasTec is effectively utilizing its fixed assets to generate sales.
However, it is important to note the fluctuations in the ratio over time. A decreasing trend in the fixed asset turnover ratio could indicate inefficiencies in asset utilization or a decrease in sales relative to fixed assets. On the other hand, a significant increase in the ratio could suggest improved efficiency in generating revenue from fixed assets.
Overall, MasTec Inc's fixed asset turnover ratio indicates strong performance in efficiently using its fixed assets to generate revenue, with room for improvement in certain quarters where the ratio dips.
Peer comparison
Dec 31, 2023