NRG Energy Inc. (NRG)
Fixed asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 28,130,000 | 28,823,000 | 31,543,000 | 26,989,000 | 9,093,000 |
| Property, plant and equipment | US$ in thousands | — | — | 1,917,000 | 1,959,000 | 2,547,000 |
| Fixed asset turnover | — | — | 16.45 | 13.78 | 3.57 |
December 31, 2024 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $28,130,000K ÷ $—K
= —
The fixed asset turnover ratio measures a company's ability to generate sales from its investment in fixed assets. Higher values indicate more efficient asset utilization. In the case of NRG Energy Inc., the trend of the fixed asset turnover ratio has been positive and increasing over the years.
As of December 31, 2020, the fixed asset turnover ratio stood at 3.57, indicating that the company generated $3.57 in sales for every dollar invested in fixed assets. By December 31, 2021, this ratio had significantly improved to 13.78, demonstrating a substantial increase in asset efficiency.
The trend continued to strengthen in subsequent years, with the fixed asset turnover ratio reaching 16.45 by December 31, 2022. This suggests that NRG Energy Inc. was effectively utilizing its fixed assets to drive sales growth.
Unfortunately, data for December 31, 2023, and December 31, 2024, is unavailable (represented as "—"), making it challenging to assess the ongoing trend in asset turnover efficiency. It is crucial for the company to provide updated financial information to understand the continued performance in this aspect.
Overall, based on the available data, NRG Energy Inc. has showcased an improving trend in fixed asset turnover, indicating positive efficiency in utilizing its fixed assets to generate sales.
Peer comparison
Dec 31, 2024