National Presto Industries Inc (NPK)
Fixed asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 340,912 | 321,623 | 355,777 | 352,627 | 308,510 |
| Property, plant and equipment | US$ in thousands | 39,236 | 41,791 | 36,723 | 37,113 | 37,278 |
| Fixed asset turnover | 8.69 | 7.70 | 9.69 | 9.50 | 8.28 |
December 31, 2023 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $340,912K ÷ $39,236K
= 8.69
Based on the data provided, National Presto Industries Inc's fixed asset turnover has shown fluctuating trends over the past five years. The fixed asset turnover ratio measures how efficiently the company is utilizing its fixed assets to generate sales.
In 2023, the fixed asset turnover ratio increased to 8.69, indicating that the company generated $8.69 in sales for every $1 of fixed assets invested, representing an improvement from the previous year. This suggests that National Presto Industries Inc was more efficient in utilizing its fixed assets to generate revenue.
In 2022, the fixed asset turnover ratio was 7.70, showing a slight decrease from the previous year. Although the ratio declined, it still indicates that the company was generating $7.70 in sales for every $1 of fixed assets, demonstrating relatively efficient asset utilization.
In 2021, there was a significant increase in the fixed asset turnover ratio to 9.69, reflecting a notable improvement in asset efficiency compared to the previous year. This suggests that National Presto Industries Inc was able to generate $9.69 in sales for every $1 of fixed assets invested.
In 2020 and 2019, the fixed asset turnover ratios were 9.50 and 8.28 respectively, both indicating efficient utilization of fixed assets to generate sales.
Overall, National Presto Industries Inc's fixed asset turnover has shown variability over the past five years, with fluctuations in efficiency in utilizing fixed assets to generate revenue. An increasing trend in the ratio generally indicates improved asset productivity, while a decreasing trend may signal potential inefficiencies in asset utilization.
Peer comparison
Dec 31, 2023