Smart Global Holdings Inc (SGH)
Fixed asset turnover
| Aug 25, 2023 | Aug 26, 2022 | Aug 27, 2021 | Aug 28, 2020 | Aug 30, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 1,388,900 | 1,792,800 | 1,559,310 | 1,162,720 | 1,305,460 |
| Property, plant and equipment | US$ in thousands | 118,734 | 96,708 | 156,266 | 54,705 | 68,345 |
| Fixed asset turnover | 11.70 | 18.54 | 9.98 | 21.25 | 19.10 |
August 25, 2023 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $1,388,900K ÷ $118,734K
= 11.70
The fixed asset turnover ratio for SMART Global Holdings Inc has exhibited fluctuating trends over the past five years. In fiscal year 2023, the ratio reached 12.14, indicating an increase from the previous year's 11.82. This upturn suggests that the company generated $12.14 in net sales for every dollar invested in fixed assets. The trend reflects the efficient utilization of fixed assets to generate sales revenue. However, it is essential to further investigate the underlying reasons for this fluctuation and assess the company's strategies in managing its fixed assets to sustain and potentially improve its turnover efficiency.
Peer comparison
Aug 25, 2023