PPL Corporation (PPL)
Fixed asset turnover
| 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 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 8,462,000 | 8,282,000 | 8,259,000 | 8,201,000 | 8,312,000 | 8,571,000 | 8,662,000 | 8,535,000 | 7,902,000 | 7,097,000 | 6,475,000 | 6,067,000 | 5,783,000 | 5,669,000 | 5,557,000 | 5,532,000 | 5,474,000 | 6,057,000 | 6,590,000 | 7,130,000 |
| Property, plant and equipment | US$ in thousands | 33,149,000 | 32,627,000 | 32,173,000 | 31,747,000 | 31,418,000 | 31,070,000 | 30,762,000 | 30,457,000 | 30,238,000 | 29,894,000 | 29,910,000 | 25,645,000 | 25,470,000 | 25,206,000 | 24,945,000 | 24,697,000 | 24,500,000 | 38,320,000 | 36,785,000 | 36,835,000 |
| Fixed asset turnover | 0.26 | 0.25 | 0.26 | 0.26 | 0.26 | 0.28 | 0.28 | 0.28 | 0.26 | 0.24 | 0.22 | 0.24 | 0.23 | 0.22 | 0.22 | 0.22 | 0.22 | 0.16 | 0.18 | 0.19 |
December 31, 2024 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $8,462,000K ÷ $33,149,000K
= 0.26
The fixed asset turnover ratio for PPL Corporation has been relatively stable over the past few years, ranging between 0.16 and 0.28. This ratio indicates how efficiently the company is generating revenue from its fixed assets. A higher fixed asset turnover ratio suggests that PPL Corporation is utilizing its fixed assets more effectively to generate sales.
Specifically, the trend shows an improvement in the fixed asset turnover ratio from 0.19 in March 31, 2020, to 0.26 by the end of December 31, 2024. This indicates that PPL Corporation has been able to increase its sales in relation to its investment in fixed assets over this period.
However, it is worth noting that there was a slight dip in the ratio from 0.28 in March 31, 2023, to 0.25 in September 30, 2024. This may warrant further investigation into the company's operational efficiency and asset management strategies during that period.
Overall, the fixed asset turnover ratio for PPL Corporation shows a generally positive trend, suggesting an improvement in the company's ability to generate revenue from its fixed assets, with some minor fluctuations in between.
Peer comparison
Dec 31, 2024