Myriad Genetics Inc (MYGN)

Fixed asset turnover

		Jun 30, 2024	Mar 31, 2024	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	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019
Revenue (ttm)	US$ in thousands	794,900	766,400	745,400	731,500	696,200	691,900	675,200	820,600	831,200	839,900	846,300	666,200	590,100	564,400	586,600	627,900	750,000	801,700	822,500	840,100
Property, plant and equipment	US$ in thousands	116,300	118,500	119,000	120,700	112,000	96,300	83,400	67,500	52,800	45,700	43,500	43,400	43,200	45,100	36,700	37,000	37,100	36,500	55,000	57,300
Fixed asset turnover		6.83	6.47	6.26	6.06	6.22	7.18	8.10	12.16	15.74	18.38	19.46	15.35	13.66	12.51	15.98	16.97	20.22	21.96	14.95	14.66

June 30, 2024 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $794,900K ÷ $116,300K
= 6.83

Myriad Genetics Inc's fixed asset turnover has fluctuated over the past several quarters, ranging from a low of 6.06 to a high of 21.96. A high fixed asset turnover ratio indicates that the company is generating significant revenue relative to its investment in fixed assets. This suggests efficient utilization of fixed assets in generating sales.

The downward trend in fixed asset turnover from 2022 to 2024 could be an indication of slower sales growth relative to the investment in fixed assets during this period. However, it is important to note that the fixed asset turnover ratio is still relatively high compared to previous years, indicating that Myriad Genetics Inc continues to efficiently use its fixed assets to generate revenue.

An area of concern could be the significant increase in fixed asset turnover from the end of 2021 to the beginning of 2022, followed by a gradual decline. This rapid increase may warrant further investigation to determine the reason behind such fluctuations in the efficiency of asset utilization.

Overall, the trend in Myriad Genetics Inc's fixed asset turnover suggests that the company has been effectively managing its fixed assets to generate revenue, although there have been fluctuations in efficiency over the past few quarters that may require closer attention.