ePlus inc (PLUS)
Fixed asset turnover
| 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 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 2,225,302 | 2,163,018 | 2,277,439 | 2,183,534 | 2,067,718 | 2,027,060 | 1,898,418 | 1,862,729 | 1,821,019 | 1,722,107 | 1,654,877 | 1,629,941 | 1,568,323 | 1,582,192 | 1,583,579 | 1,562,063 | 1,588,404 | 1,547,362 | 1,464,035 | 1,397,513 |
| Property, plant and equipment | US$ in thousands | 12,935 | 4,243 | 4,671 | 5,266 | 11,933 | 4,911 | 4,369 | 5,422 | 7,911 | 7,644 | 7,368 | 7,607 | 7,388 | 7,921 | 7,258 | 7,851 | 7,153 | 7,078 | 7,236 | 6,821 |
| Fixed asset turnover | 172.04 | 509.79 | 487.57 | 414.65 | 173.28 | 412.76 | 434.52 | 343.55 | 230.19 | 225.29 | 224.60 | 214.27 | 212.28 | 199.75 | 218.18 | 198.96 | 222.06 | 218.62 | 202.33 | 204.88 |
March 31, 2024 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $2,225,302K ÷ $12,935K
= 172.04
The fixed asset turnover ratio for ePlus Inc has been fluctuating over the past several quarters. The ratio measures how efficiently the company is generating sales from its investments in fixed assets.
The ratio has shown a general upward trend, reaching a peak of 509.79 in December 2023, indicating that the company generated $509.79 in sales for each dollar invested in fixed assets during that period. This is a significant improvement compared to the previous quarters, which suggests that the company has been able to utilize its fixed assets more effectively to generate revenue.
However, there are instances where the ratio dipped, such as in March 2021 and March 2023, which may indicate a temporary decrease in sales relative to fixed assets during those periods. It is important to further analyze the reasons behind these fluctuations to understand if they are due to changes in sales volume, changes in fixed asset utilization, or other factors.
Overall, the increasing trend in the fixed asset turnover ratio for ePlus Inc is positive, as it indicates improved efficiency in generating sales from its fixed assets. Further monitoring and analysis of this ratio will provide insights into the company's operational efficiency and asset management strategies.
Peer comparison
Mar 31, 2024