Palo Alto Networks Inc (PANW)

Fixed asset turnover

		Jul 31, 2024	Apr 30, 2024	Jan 31, 2024	Oct 31, 2023	Jul 31, 2023	Apr 30, 2023	Jan 31, 2023	Oct 31, 2022	Jul 31, 2022	Apr 30, 2022	Jan 31, 2022	Oct 31, 2021	Jul 31, 2021	Apr 30, 2021	Jan 31, 2021	Oct 31, 2020	Jul 31, 2020	Apr 30, 2020	Jan 31, 2020	Oct 31, 2019
Revenue (ttm)	US$ in thousands	8,027,700	7,777,700	7,501,800	7,176,900	6,857,600	6,458,200	6,127,200	5,796,400	5,475,900	5,105,500	4,757,600	4,420,000	4,087,400	3,831,400	3,649,600	3,472,400	3,317,900	3,184,700	3,040,400	2,934,500
Property, plant and equipment	US$ in thousands	361,100	350,300	352,300	352,600	354,500	341,700	344,700	353,700	357,800	355,600	362,700	324,300	318,400	322,700	330,700	337,900	348,100	357,200	311,400	316,400
Fixed asset turnover		22.23	22.20	21.29	20.35	19.34	18.90	17.78	16.39	15.30	14.36	13.12	13.63	12.84	11.87	11.04	10.28	9.53	8.92	9.76	9.27

July 31, 2024 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $8,027,700K ÷ $361,100K
= 22.23

The fixed asset turnover ratio for Palo Alto Networks Inc has shown a consistent upward trend over the past few years, indicating that the company is becoming more efficient in generating revenue from its investment in fixed assets. The ratio has increased from 9.27 in October 2019 to 22.23 in July 2024, demonstrating a significant improvement in asset utilization. This suggests that the company is effectively using its fixed assets to generate sales, which is a positive sign for investors and indicates strong operational performance. Overall, the increasing trend in the fixed asset turnover ratio reflects the company's ability to efficiently manage and utilize its fixed assets to drive revenue growth.