Norwegian Cruise Line Holdings Ltd (NCLH)

Fixed asset turnover

Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Revenue US$ in thousands 7,787,020 3,910,760 647,986 1,162,120 6,185,140
Property, plant and equipment US$ in thousands 16,433,300 14,516,400 13,528,800 13,411,200 13,135,300
Fixed asset turnover 0.47 0.27 0.05 0.09 0.47

December 31, 2023 calculation

Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $7,787,020K ÷ $16,433,300K
= 0.47

The fixed asset turnover ratio for Norwegian Cruise Line Holdings Ltd has fluctuated over the past five years. In 2023, the ratio stood at 0.52, indicating that for every dollar of fixed assets, the company generated $0.52 in revenue. This represents an improvement compared to the previous year where the ratio was 0.33.

The significant increase in the fixed asset turnover ratio from 2021 to 2023 suggests that the company has been able to generate more revenue from its fixed assets, which is a positive sign of efficiency in asset utilization. However, it is worth noting that in 2021, the ratio was very low at 0.05, indicating that the company was not effectively utilizing its fixed assets to generate revenue.

Overall, the trend in the fixed asset turnover ratio for Norwegian Cruise Line Holdings Ltd indicates variability in the efficiency of generating revenue from its fixed assets over the years. Further analysis of the company's operational and management strategies would be necessary to understand the reasons behind these fluctuations and to assess the sustainability of the current trend.