Nextracker Inc. Class A Common Stock (NXT)

Fixed asset turnover

		Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022
Revenue (ttm)	US$ in thousands	2,499,841	2,281,721	2,084,665
Property, plant and equipment	US$ in thousands	9,236	8,369	7,464	6,914	7,255	7,910
Fixed asset turnover		270.66	272.64	279.30

March 31, 2024 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $2,499,841K ÷ $9,236K
= 270.66

The fixed asset turnover ratio for Nextracker Inc. Class A Common Stock has been relatively stable over the past few quarters, with values of 270.66, 272.64, and 279.30 for the periods ending March 31, 2024, December 31, 2023, and September 30, 2023, respectively. This indicates that the company generates $270.66, $272.64, and $279.30 in revenue for each dollar invested in fixed assets during those periods.

A high fixed asset turnover ratio is generally considered favorable as it suggests that the company is efficient in utilizing its fixed assets to generate revenue. Nextracker Inc. has demonstrated consistently high fixed asset turnover figures, which indicates efficient management of its fixed assets to drive revenue generation.

Overall, the trend of the fixed asset turnover ratio for Nextracker Inc. Class A Common Stock indicates effective utilization of fixed assets to generate sales revenue, reflecting positively on the company's operational efficiency in converting its investment in fixed assets into revenue.