OGE Energy Corporation (OGE)

Fixed asset turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Revenue	US$ in thousands	2,674,300	3,375,700	3,653,700	2,122,300	2,231,600
Property, plant and equipment	US$ in thousands	11,301,000	10,546,800	9,832,900	9,374,600	9,044,600
Fixed asset turnover		0.24	0.32	0.37	0.23	0.25

December 31, 2023 calculation

Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $2,674,300K ÷ $11,301,000K
= 0.24

Oge Energy Corp.'s fixed asset turnover ratio has fluctuated over the past five years, indicating varying efficiency in generating revenue from its fixed assets. The trend shows a decrease from 0.25 in 2019 to 0.23 in 2020, followed by a slight increase to 0.37 in 2021, and then a decline to 0.32 in 2022 and further to 0.24 in 2023.

A fixed asset turnover below 1 may suggest that the company is not effectively utilizing its fixed assets to generate sales. The decreasing trend in recent years could indicate potential inefficiencies in how Oge Energy Corp. is utilizing its fixed assets, which may require further investigation.

Overall, a lower fixed asset turnover ratio may point towards a need for the company to optimize its asset utilization to improve operational efficiency and profitability.