RB Global Inc. (RBA)

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 4,231,900 3,679,600 3,082,608 2,474,308 1,852,308 1,733,808 1,649,273 1,567,455 1,479,316 1,416,971 1,441,011 1,442,871 1,435,560 1,377,260 1,326,041 1,284,295 1,288,467 1,318,641 1,342,419 1,297,969
Property, plant and equipment US$ in thousands 1,214,600 1,200,900 1,150,400 1,137,900 1,144,900 459,100 444,538 442,743 445,517 449,087 466,162 482,732 483,981 492,127 481,047 475,936 477,327 484,482 476,776 473,036
Fixed asset turnover 3.48 3.06 2.68 2.17 1.62 3.78 3.71 3.54 3.32 3.16 3.09 2.99 2.97 2.80 2.76 2.70 2.70 2.72 2.82 2.74

March 31, 2024 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $4,231,900K ÷ $1,214,600K
= 3.48

The fixed asset turnover ratio for RB Global Inc. has fluctuated over the past few quarters. The ratio indicates the efficiency with which the company is utilizing its fixed assets to generate sales revenue. A higher fixed asset turnover ratio is generally preferred as it suggests that the company is generating more revenue per dollar invested in fixed assets.

From the data provided, we can see that the fixed asset turnover ratio ranged from 1.62 to 3.78 over the past eight quarters. The highest ratio of 3.78 was observed in the fourth quarter of 2022, indicating that RB Global Inc. was able to generate $3.78 in sales for every dollar invested in fixed assets during that period. On the other hand, the lowest ratio of 1.62 was recorded in the first quarter of 2023, suggesting a lower level of efficiency in utilizing fixed assets to generate revenue.

Overall, the trend in the fixed asset turnover ratio for RB Global Inc. shows variability, with some quarters demonstrating strong performance in asset utilization while others showing lower efficiency. It is essential for the company to maintain a consistent focus on improving the productivity and effectiveness of its fixed assets to drive increased revenue generation in the long term.


Peer comparison

Mar 31, 2024