Oshkosh Corporation (OSK)

Fixed asset turnover

		Sep 30, 2024	Jun 30, 2024	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	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
Revenue (ttm)	US$ in thousands	10,500,700	10,283,200	9,871,600	9,599,300	9,351,500	8,915,100	8,564,200	8,249,100	8,098,100	8,239,400	8,063,100	7,692,100	7,423,700	6,795,700	6,693,900	6,813,900	7,225,400	8,036,800	8,251,000	8,369,800
Property, plant and equipment	US$ in thousands	1,145,200	1,105,600	1,102,900	1,069,500	954,800	890,500	871,500	826,200	700,900	674,500	603,700	595,900	563,400	561,200	555,200	565,900	548,700	551,700	558,800	573,600
Fixed asset turnover		9.17	9.30	8.95	8.98	9.79	10.01	9.83	9.98	11.55	12.22	13.36	12.91	13.18	12.11	12.06	12.04	13.17	14.57	14.77	14.59

September 30, 2024 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $10,500,700K ÷ $1,145,200K
= 9.17

The fixed asset turnover ratio for Oshkosh Corporation has shown a fluctuating trend over the past few quarters. The ratio measures the efficiency with which the company generates sales revenue from its investment in fixed assets.

From September 2019 to September 2020, the fixed asset turnover ratio has consistently increased, indicating that Oshkosh has been able to generate more sales revenue relative to its investment in fixed assets. This suggests improved efficiency in utilizing its fixed assets to drive revenue.

However, from September 2020 to September 2021, there was a slight decrease in the fixed asset turnover ratio, possibly indicating a decrease in the company's ability to generate sales from its fixed assets efficiently during this period.

From March 2022 to September 2022, there was a significant increase in the fixed asset turnover ratio, reaching its peak of 13.36 in March 2022. This surge suggests enhanced efficiency in asset utilization and improved revenue generation during this period.

Subsequently, from September 2022 to September 2024, the ratio has been gradually decreasing, possibly indicating a slowdown in the company's ability to generate sales from its fixed assets efficiently. However, the ratio still remains relatively high, indicating that Oshkosh continues to effectively utilize its fixed assets to generate revenue, although at a slightly lower rate compared to the peak in March 2022.

Overall, the fluctuating trend in Oshkosh Corporation's fixed asset turnover ratio highlights the importance of monitoring efficiency in asset utilization and revenue generation, which are crucial factors in assessing the company's operational performance and profitability.