NetScout Systems Inc (NTCT)

Fixed asset turnover

		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	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019
Revenue (ttm)	US$ in thousands	829,455	834,105	885,577	916,856	914,530	897,628	890,278	874,115	855,575	877,773	844,318	837,739	831,282	847,244	878,529	889,611	891,820	897,471	883,455	890,831
Property, plant and equipment	US$ in thousands	26,487	27,955	30,637	33,207	34,735	37,590	38,752	40,328	41,337	42,723	45,008	46,973	48,474	51,265	53,168	55,228	57,715	58,700	58,505	56,393
Fixed asset turnover		31.32	29.84	28.91	27.61	26.33	23.88	22.97	21.68	20.70	20.55	18.76	17.83	17.15	16.53	16.52	16.11	15.45	15.29	15.10	15.80

March 31, 2024 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $829,455K ÷ $26,487K
= 31.32

NetScout Systems Inc has shown a generally increasing trend in its fixed asset turnover ratio over the period from December 2019 to March 2024. The company's fixed asset turnover ratio improved from 15.80 in June 2019 to 31.32 in March 2024. This indicates that NetScout has been more efficient in generating revenue from its investments in fixed assets over the years.

A high fixed asset turnover ratio suggests that the company is using its fixed assets effectively to generate sales. NetScout's consistently high fixed asset turnover ratio may indicate efficient asset management or a scalable business model. This could be a positive sign for investors and indicates potential operational efficiency and effectiveness in utilizing fixed assets to drive revenue growth.

Overall, the increasing trend in NetScout Systems Inc's fixed asset turnover ratio demonstrates the company's ability to generate revenue from its investments in fixed assets, which is a key indicator of operational efficiency and effective asset utilization.