Resideo Technologies Inc (REZI)
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 | 6,761,000 | 6,440,000 | 6,166,000 | 6,179,000 | 6,242,000 | 6,265,000 | 6,329,000 | 6,413,000 | 6,370,000 | 6,264,000 | 6,142,000 | 5,933,000 | 5,846,000 | 5,893,000 | 5,759,000 | 5,311,000 | 5,071,000 | 4,874,000 | 4,738,000 | 4,951,000 |
| Property, plant and equipment | US$ in thousands | — | — | — | — | — | 577,000 | 388,000 | 379,000 | 366,000 | 351,000 | 363,000 | 350,000 | 287,000 | 290,000 | 304,000 | 307,000 | 318,000 | 311,000 | 440,000 | 433,000 |
| Fixed asset turnover | — | — | — | — | — | 10.86 | 16.31 | 16.92 | 17.40 | 17.85 | 16.92 | 16.95 | 20.37 | 20.32 | 18.94 | 17.30 | 15.95 | 15.67 | 10.77 | 11.43 |
December 31, 2024 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $6,761,000K ÷ $—K
= —
The fixed asset turnover ratio reflects how efficiently a company is utilizing its fixed assets to generate revenues.
Analyzing Resideo Technologies Inc's fixed asset turnover ratio over the past few quarters, we observe a general upward trend from March 31, 2020, to December 31, 2021, indicating an improvement in the efficient use of fixed assets to generate sales. This increase may suggest better management of the company's fixed assets or increased revenue generation relative to the level of investment in fixed assets during this period.
However, starting from March 31, 2022, there was a slight decline in the fixed asset turnover ratio, which continued to decrease until March 31, 2023. This dip may indicate a potential decrease in revenue generated from the company's fixed assets, or an increase in the book value of fixed assets without a corresponding increase in sales.
As of September 30, 2023, the fixed asset turnover ratio significantly dropped to 10.86, indicating a potential inefficiency in utilizing fixed assets to generate revenue compared to the previous quarters. The lack of data for the subsequent quarters does not provide further insights into this trend.
In conclusion, the analysis of Resideo Technologies Inc's fixed asset turnover ratio suggests fluctuations in the efficiency of using fixed assets to generate revenue over the analyzed period, with a notable decline towards the end of the observed timeline.