PulteGroup Inc (PHM)
Fixed asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 18,181,800 | 16,211,600 | 16,435,100 | 14,116,200 | 11,036,100 |
| Property, plant and equipment | US$ in thousands | 253,100 | 221,500 | 200,300 | 149,200 | 131,700 |
| Fixed asset turnover | 71.84 | 73.19 | 82.05 | 94.61 | 83.80 |
December 31, 2024 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $18,181,800K ÷ $253,100K
= 71.84
The fixed asset turnover ratio of PulteGroup Inc has shown some fluctuations over the past five years. It increased from 83.80 in December 2020 to 94.61 in December 2021, indicating that the company generated $94.61 in revenue for every dollar invested in fixed assets. However, the ratio declined to 82.05 in December 2022, 73.19 in December 2023, and further to 71.84 in December 2024.
The decreasing trend in fixed asset turnover may suggest inefficiencies in utilizing the company's fixed assets to generate sales. This could be due to various factors such as underutilization of fixed assets, higher maintenance costs, or changes in the economic environment impacting the demand for the company's products or services.
It is essential for PulteGroup Inc to closely monitor and address the factors impacting its fixed asset turnover to improve operational efficiency and maximize returns on its investments in fixed assets. Additional analysis and comparison with industry peers may provide further insights into the company's performance in this area.
Peer comparison
Dec 31, 2024