Roper Technologies Inc. Common Stock (ROP)

Fixed asset turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Revenue	US$ in thousands	6,177,800	5,371,800	4,833,800	4,022,400	4,727,700
Property, plant and equipment	US$ in thousands	119,600	85,300	82,700	127,300	139,900
Fixed asset turnover		51.65	62.98	58.45	31.60	33.79

December 31, 2023 calculation

Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $6,177,800K ÷ $119,600K
= 51.65

The fixed asset turnover for Roper Technologies Inc has shown a fluctuating trend over the past five years. In 2023, the fixed asset turnover ratio was 51.65, a decrease from the previous year's ratio of 62.98. This indicates that the company generated $51.65 in revenue for every dollar of fixed assets invested in the business during the year.

While the ratio decreased in 2023, it remains relatively high compared to earlier years, suggesting that Roper Technologies Inc has been efficient in utilizing its fixed assets to generate revenue. The peak ratio of 62.98 in 2022 indicates that the company was exceptionally effective in generating revenue from its fixed assets that year.

Overall, the upward trend in fixed asset turnover ratios over the past five years reflects Roper Technologies Inc's ability to efficiently utilize its fixed assets to drive revenue growth. However, the fluctuating nature of the ratios implies potential variability in the company's operational efficiency and asset utilization strategies over time.