Somnigroup International Inc. (SGI)
Fixed asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 4,925,400 | 4,921,200 | 4,930,800 | 3,676,900 | 3,106,000 |
| Property, plant and equipment | US$ in thousands | 798,200 | 723,000 | 518,700 | 507,900 | 435,800 |
| Fixed asset turnover | 6.17 | 6.81 | 9.51 | 7.24 | 7.13 |
December 31, 2023 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $4,925,400K ÷ $798,200K
= 6.17
Somnigroup International Inc.'s fixed asset turnover ratio has shown fluctuating trends over the past five years. The ratio was 7.13 in December 31, 2019, slightly increased to 7.24 by December 31, 2020, and then experienced a significant surge to 9.51 by December 31, 2021. However, in the subsequent years, the ratio declined to 6.81 by December 31, 2022, and further dropped to 6.17 by December 31, 2023.
The fixed asset turnover ratio measures how efficiently the company is generating revenue from its investment in fixed assets. Typically, a higher ratio indicates that the company is utilizing its fixed assets effectively to generate sales. The fluctuation in Somnigroup International Inc.'s fixed asset turnover ratio suggests varying levels of efficiency in utilizing its fixed assets over the analyzed period. Further investigation into the reasons behind these fluctuations and their impact on the company's operational efficiency may provide valuable insights for stakeholders and decision-makers.
Peer comparison
Dec 31, 2023