Myriad Genetics Inc (MYGN)

Fixed asset turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Jun 30, 2020	Jun 30, 2019
Revenue	US$ in thousands	745,400	675,200	846,000	627,800	840,000
Property, plant and equipment	US$ in thousands	119,000	83,400	43,500	37,000	57,300
Fixed asset turnover		6.26	8.10	19.45	16.97	14.66

December 31, 2023 calculation

Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $745,400K ÷ $119,000K
= 6.26

Myriad Genetics, Inc.'s fixed asset turnover has shown some fluctuation over the past five years. The fixed asset turnover ratio indicates how efficiently the company is utilizing its fixed assets to generate revenue. A higher fixed asset turnover ratio generally suggests better efficiency in generating sales from its fixed assets.

In the latest year, as of December 31, 2023, the fixed asset turnover ratio stands at 6.33. This represents a decrease compared to the previous years, indicating a potential decline in the company's ability to generate revenue from its fixed assets efficiently.

Looking back, the company achieved a substantially higher fixed asset turnover ratio of 15.88 in December 31, 2021, suggesting strong efficiency in utilizing its fixed assets to generate sales. However, this ratio declined to 8.13 as of December 31, 2022, and further dropped to 6.33 in 2023.

The trend in fixed asset turnover ratios indicates the need for further analysis to understand the factors contributing to the fluctuations. A declining trend may raise concerns about potential inefficiencies in asset utilization or changes in the company's business operations impacting its fixed asset turnover. Additional investigation into the drivers of this trend and comparison with industry benchmarks could provide valuable insights into Myriad Genetics, Inc.'s operational efficiency and asset management practices.