Northwest Natural Gas Co (NWN)
Fixed asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 1,197,480 | 1,037,350 | 860,400 | 773,679 | 746,372 |
| Property, plant and equipment | US$ in thousands | 3,358,050 | 3,114,400 | 2,871,370 | 2,654,770 | 2,438,900 |
| Fixed asset turnover | 0.36 | 0.33 | 0.30 | 0.29 | 0.31 |
December 31, 2023 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $1,197,480K ÷ $3,358,050K
= 0.36
Based on the data provided, Northwest Natural Holding Co's fixed asset turnover has been fluctuating over the past five years. The ratio is a measure of how efficiently the company is utilizing its fixed assets to generate revenue.
The trend shows an improvement in the company's efficiency in utilizing its fixed assets in recent years. The fixed asset turnover ratio increased from 0.29 in 2020 to 0.36 in 2023, indicating that the company generated $0.36 in revenue for every dollar invested in fixed assets. This suggests that Northwest Natural Holding Co is becoming more efficient in generating sales from its fixed assets.
However, it is important to note that the ratio dipped to 0.30 in 2021 before showing an overall increasing trend. It may be beneficial for stakeholders to further investigate the factors contributing to these fluctuations to ensure sustainable growth in the future.
Peer comparison
Dec 31, 2023