Procter & Gamble Company (PG)
Fixed asset turnover
| Mar 31, 2025 | Dec 31, 2024 | 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 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 83,927,000 | 84,346,000 | 83,905,000 | 84,039,000 | 84,060,000 | 83,933,000 | 83,265,000 | 82,006,000 | 80,968,000 | 80,281,000 | 80,461,000 | 80,187,000 | 79,618,000 | 78,346,000 | 77,138,000 | 76,118,000 | 74,870,000 | 73,975,000 | 72,470,000 | 70,950,000 |
| Property, plant and equipment | US$ in thousands | 22,728,000 | 22,074,000 | 22,506,000 | — | — | — | 21,636,000 | 21,909,000 | 21,564,000 | 21,167,000 | 20,593,000 | 21,195,000 | 21,323,000 | 21,357,000 | 21,392,000 | 21,686,000 | 21,103,000 | 21,416,000 | 20,876,000 | 21,542,000 |
| Fixed asset turnover | 3.69 | 3.82 | 3.73 | — | — | — | 3.85 | 3.74 | 3.75 | 3.79 | 3.91 | 3.78 | 3.73 | 3.67 | 3.61 | 3.51 | 3.55 | 3.45 | 3.47 | 3.29 |
March 31, 2025 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $83,927,000K ÷ $22,728,000K
= 3.69
The fixed asset turnover ratio of Procter & Gamble demonstrates a generally upward trend from June 30, 2020, through September 30, 2023, with notable fluctuations. Starting at 3.29 in June 2020, the ratio increased steadily over the subsequent periods, reaching a peak of approximately 3.85 by September 2023. This indicates that the company's efficiency in generating sales from its fixed assets improved over this time frame.
The increase in the ratio suggests that Procter & Gamble has succeeded in utilizing its fixed assets more effectively over this period. Several factors could contribute to this trend, including better asset management, increased sales relative to fixed assets, or a strategic reduction or optimization of fixed asset investments.
The data from December 31, 2023, through March 31, 2024, and June 30, 2024, were not provided, but a slight decline is observed on September 30, 2024, at 3.73, compared to previous levels. This marginal decrease indicates a potential plateau or slight decline in asset utilization efficiency, possibly due to changes in sales volume, asset base, or both.
By December 31, 2024, the ratio rebounded to approximately 3.82, suggesting an improvement in asset utilization efficiency, and maintained a relatively stable level at 3.69 by March 31, 2025. Overall, while the ratio exhibited minor fluctuations, the trend reflects a consistent capability to generate sales relative to fixed assets, with periods of slight decline and recovery, aligning with typical operational and strategic adjustments over this timeframe.
See also:
Procter & Gamble Company Net Fixed Asset Turnover (Quarterly Data)