Privia Health Group Inc (PRVA)
Fixed asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|
| Revenue | US$ in thousands | 1,666,110 | 1,357,200 | 965,150 |
| Property, plant and equipment | US$ in thousands | 2,325 | 3,386 | 4,502 |
| Fixed asset turnover | 716.61 | 400.83 | 214.38 |
December 31, 2023 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $1,666,110K ÷ $2,325K
= 716.61
Fixed asset turnover is a financial ratio that measures a company's ability to generate revenue from its fixed assets. A higher fixed asset turnover indicates that the company is using its fixed assets more efficiently to generate sales.
In the case of Privia Health Group Inc, the fixed asset turnover has shown a consistent and significant increase over the past three years. In 2021, the ratio was 214.62, which increased to 400.67 in 2022, and further surged to 713.01 in 2023. This indicates that Privia Health Group Inc has been able to generate more revenue from its fixed assets in each consecutive year.
The significant increase in fixed asset turnover suggests that the company is utilizing its fixed assets more efficiently, which could be due to improvements in operational efficiency, better asset utilization, or increased sales volume. This trend is positive as it shows that Privia Health Group Inc is effectively managing and leveraging its fixed assets to drive revenue growth.
Peer comparison
Dec 31, 2023