Ryder System Inc (R)
Fixed asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 11,783,000 | 12,011,000 | 9,663,000 | 8,420,000 | 8,925,800 |
| Property, plant and equipment | US$ in thousands | 1,169,000 | 1,148,000 | 984,978 | 927,058 | 917,799 |
| Fixed asset turnover | 10.08 | 10.46 | 9.81 | 9.08 | 9.73 |
December 31, 2023 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $11,783,000K ÷ $1,169,000K
= 10.08
Ryder System, Inc.'s fixed asset turnover has shown a fluctuating trend over the past five years. The ratio measures the efficiency with which the company generates revenue from its fixed assets. In 2023, the fixed asset turnover was 1.17, indicating that the company generated $1.17 in revenue for every dollar invested in fixed assets. This represents a slight decrease compared to the previous year's ratio of 1.29.
The improvement in fixed asset turnover from 2020 to 2022 suggests that Ryder System, Inc. has been more effective in utilizing its fixed assets to generate revenue. However, the ratio dropped in 2023, which may raise concerns about the company's ability to efficiently utilize its fixed assets to drive revenue growth.
Overall, the trend in fixed asset turnover for Ryder System, Inc. indicates varying levels of efficiency in asset utilization over the years, highlighting the importance of monitoring and optimizing the management of fixed assets to enhance overall performance and profitability.
Peer comparison
Dec 31, 2023