Nexstar Broadcasting Group Inc (NXST)

Fixed asset turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Revenue	US$ in thousands	4,486,000	4,871,500	4,371,480	4,117,920	2,816,780
Property, plant and equipment	US$ in thousands	1,269,000	1,262,000	1,512,500	1,604,880	1,290,430
Fixed asset turnover		3.54	3.86	2.89	2.57	2.18

December 31, 2023 calculation

Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $4,486,000K ÷ $1,269,000K
= 3.54

Nexstar Media Group Inc's fixed asset turnover has shown an upward trend over the past five years, reflecting the company's efficiency in generating revenue from its investment in fixed assets. The ratio increased from 2.36 in 2019 to 3.89 in 2023, indicating that the company has been able to utilize its fixed assets more effectively to generate sales.

An increasing fixed asset turnover ratio suggests that the company is making better use of its property, plant, and equipment to generate revenue. This could be due to improved operational efficiency, better utilization of assets, or increased sales from the existing asset base.

The trend indicates that Nexstar Media Group Inc has been able to optimize its fixed asset investments over the years, which is a positive sign for investors as it shows that the company is generating more revenue per dollar invested in fixed assets. However, it is important to note that other factors such as industry dynamics and economic conditions should also be considered when evaluating the overall financial health of the company.