Polaris Industries Inc (PII)
Fixed asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 7,175,400 | 8,934,400 | 8,589,000 | 8,198,200 | 7,027,900 |
| Property, plant and equipment | US$ in thousands | — | — | 1,129,400 | 1,140,600 | 888,800 |
| Fixed asset turnover | — | — | 7.60 | 7.19 | 7.91 |
December 31, 2024 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $7,175,400K ÷ $—K
= —
The fixed asset turnover ratio for Polaris Industries Inc has shown a declining trend over the last few years. In 2020, the ratio stood at 7.91, indicating that the company generated $7.91 in sales for every $1 invested in fixed assets. However, by the end of 2021, the ratio had decreased to 7.19, signaling a decrease in efficiency in utilizing fixed assets to generate revenue.
In 2022, there was a slight improvement as the fixed asset turnover ratio increased to 7.60, showing that the company was able to generate more sales per dollar invested in fixed assets compared to the previous year. However, the ratios for 2023 and 2024 are not available in the data provided, making it challenging to assess the trend for those years.
Overall, the declining trend in fixed asset turnover from 2020 to 2021 followed by a slight improvement in 2022 suggests that Polaris Industries Inc may need to focus on optimizing its utilization of fixed assets to generate more sales and improve operational efficiency in the coming years.