Sunrun Inc (RUN)
Fixed asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 2,261,190 | 2,315,520 | 1,603,790 | 813,304 | 858,578 |
| Property, plant and equipment | US$ in thousands | -12,879,700 | -10,920,900 | -9,402,810 | 62,182 | 56,708 |
| Fixed asset turnover | — | — | — | 13.08 | 15.14 |
December 31, 2023 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $2,261,190K ÷ $-12,879,700K
= —
The fixed asset turnover ratio for Sunrun Inc has exhibited some fluctuations over the five years analyzed. The ratio reflects the company's ability to generate revenue from its investment in fixed assets.
In 2023, the fixed asset turnover was 0.17, indicating that for every dollar invested in fixed assets, the company generated $0.17 in revenue. This represents a slight decrease compared to the previous year, where the ratio was 0.21, suggesting a less efficient utilization of fixed assets to generate revenue.
In 2021, the fixed asset turnover ratio was 0.17, consistent with 2023. This suggests that the company continued to face challenges in effectively leveraging its fixed assets to drive revenue growth.
The ratio was lowest in 2020 at 0.11, indicating that the company struggled to generate revenue efficiently from its fixed asset base during that year.
With a ratio of 0.19 in 2019, Sunrun Inc demonstrated a relatively higher level of efficiency in utilizing fixed assets to generate revenue compared to the following years.
Overall, the fluctuation in the fixed asset turnover ratio over the five-year period indicates varying levels of efficiency in converting investment in fixed assets into revenue. It would be important for Sunrun Inc to assess the factors contributing to these fluctuations and work towards improving the utilization of fixed assets to enhance overall operational performance.
Peer comparison
Dec 31, 2023