Ingevity Corp (NGVT)
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 | 1,595,100 | 1,639,900 | 1,675,900 | 1,614,000 | 1,604,200 | 1,566,500 | 1,461,300 | 1,399,800 | 1,337,300 | 1,381,100 | 1,336,000 | 1,248,200 | 1,215,700 | 1,193,500 | 1,220,200 | 1,300,800 | 1,289,800 | 1,265,000 | 1,217,800 | 1,483,800 |
| Property, plant and equipment | US$ in thousands | 762,200 | 800,000 | 800,600 | 804,600 | 798,600 | 720,700 | 717,400 | 719,000 | 719,700 | 701,200 | 699,500 | 697,900 | 703,600 | 685,300 | 658,300 | 659,700 | 664,700 | 641,900 | 638,000 | 628,500 |
| Fixed asset turnover | 2.09 | 2.05 | 2.09 | 2.01 | 2.01 | 2.17 | 2.04 | 1.95 | 1.86 | 1.97 | 1.91 | 1.79 | 1.73 | 1.74 | 1.85 | 1.97 | 1.94 | 1.97 | 1.91 | 2.36 |
December 31, 2023 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $1,595,100K ÷ $762,200K
= 2.09
Fixed asset turnover is a financial ratio that measures a company's efficiency in generating sales revenue from its investments in fixed assets. A higher fixed asset turnover ratio indicates that the company is effectively utilizing its fixed assets to generate sales.
In the case of Ingevity Corp, the fixed asset turnover ratios over the past eight quarters have ranged from 2.02 to 2.25. This suggests that the company has maintained a relatively stable level of efficiency in generating sales from its fixed assets during the period under review.
The fluctuations in the fixed asset turnover ratio indicate some variability in how effectively Ingevity Corp is utilizing its fixed assets to generate sales revenue. However, the ratios generally hover around the 2.09 to 2.25 range, suggesting a consistent level of efficiency in this aspect of the company's operations.
Overall, based on the fixed asset turnover ratios provided, Ingevity Corp appears to be effectively utilizing its fixed assets to generate sales revenue, with a fairly consistent level of efficiency observed over the past eight quarters.
Peer comparison
Dec 31, 2023