Stepan Company (SCL)
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 | 2,180,274 | 2,186,796 | 2,202,180 | 2,225,750 | 2,325,768 | 2,420,813 | 2,577,772 | 2,749,430 | 2,773,270 | 2,756,121 | 2,639,624 | 2,483,502 | 2,345,966 | 2,230,673 | 2,092,465 | 1,957,503 | 1,869,750 | 1,820,006 | 1,807,108 | 1,819,562 |
| Property, plant and equipment | US$ in thousands | — | — | — | — | — | 1,245,310 | 1,233,990 | 1,120,130 | 1,073,300 | 977,600 | 919,534 | 892,581 | 850,604 | 799,396 | 764,784 | 818,536 | 682,667 | 651,686 | 634,004 | 627,542 |
| Fixed asset turnover | — | — | — | — | — | 1.94 | 2.09 | 2.45 | 2.58 | 2.82 | 2.87 | 2.78 | 2.76 | 2.79 | 2.74 | 2.39 | 2.74 | 2.79 | 2.85 | 2.90 |
December 31, 2024 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $2,180,274K ÷ $—K
= —
Fixed asset turnover is a financial ratio that measures a company's efficiency in generating sales revenue from its investment in fixed assets. In the case of Stepan Company, the fixed asset turnover has shown some fluctuations over the past few years, ranging between 1.94 and 2.90.
From March 31, 2020, to June 30, 2021, Stepan Company's fixed asset turnover remained relatively stable, fluctuating within a narrow range between 2.39 and 2.90. This indicates that the company was effectively utilizing its fixed assets to generate sales during this period.
However, from March 31, 2021, to June 30, 2023, there was a notable decline in the fixed asset turnover, dropping to as low as 2.09. This may suggest a decrease in the efficiency of Stepan Company in generating sales from its fixed assets during these quarters.
In the most recent period available, the fixed asset turnover improved slightly to 2.58 by December 31, 2022. However, the ratio then declined again, and for the following quarters up to December 31, 2024, the fixed asset turnover data is missing.
Overall, Stepan Company's fixed asset turnover has shown fluctuations over the analyzed period, indicating varying levels of efficiency in utilizing fixed assets to generate sales revenue. The company may need to closely monitor and potentially optimize its asset management strategies to improve the efficiency of its operations and enhance profitability.
Peer comparison
Dec 31, 2024