Prestige Brand Holdings Inc (PBH)

Fixed asset turnover

		Mar 31, 2024	Mar 31, 2023	Mar 31, 2022	Mar 31, 2021	Mar 31, 2020
Revenue	US$ in thousands	1,125,360	1,127,720	1,086,810	943,365	963,010
Property, plant and equipment	US$ in thousands	76,507	70,412	71,300	70,059	55,988
Fixed asset turnover		14.71	16.02	15.24	13.47	17.20

March 31, 2024 calculation

Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $1,125,360K ÷ $76,507K
= 14.71

Fixed asset turnover measures how efficiently a company generates sales revenue from its investments in fixed assets. A higher fixed asset turnover ratio indicates that the company is using its fixed assets more effectively to generate sales.

Prestige Brand Holdings Inc's fixed asset turnover has shown some fluctuation over the past five years. The ratio was 14.71 in Mar 31, 2024, a decrease from the previous year's ratio of 16.02. This suggests that the company generated $14.71 in sales for every dollar invested in fixed assets in 2024, compared to $16.02 in the previous year.

Despite the decrease in 2024, Prestige Brand Holdings Inc's fixed asset turnover has generally been on a positive trend, with ratios above 13.47 in the last five years. The peak ratio of 17.20 in Mar 31, 2020 indicates that the company was highly efficient in utilizing its fixed assets to generate sales revenue that year.

Overall, Prestige Brand Holdings Inc has maintained a relatively strong fixed asset turnover ratio over the years, indicating efficient utilization of its fixed assets to drive sales revenue. Management should continue to monitor and optimize the utilization of fixed assets to sustain or improve this efficiency level over time.