Skechers USA Inc (SKX)
Fixed asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 7,996,430 | 7,427,220 | 6,267,980 | 4,594,940 | 5,210,430 |
| Property, plant and equipment | US$ in thousands | 1,506,690 | 1,345,370 | 1,128,910 | 935,441 | 738,925 |
| Fixed asset turnover | 5.31 | 5.52 | 5.55 | 4.91 | 7.05 |
December 31, 2023 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $7,996,430K ÷ $1,506,690K
= 5.31
Skechers U S A, Inc.'s fixed asset turnover ratio has displayed some variations over the last five years. The company's fixed asset turnover was 5.31 in 2023, 5.53 in 2022, 5.57 in 2021, 4.91 in 2020, and 7.06 in 2019. This ratio indicates the efficiency with which Skechers is generating sales revenue relative to its investment in fixed assets.
The downward trend from 2019 to 2020 suggests that Skechers was less effective in utilizing its fixed assets to generate sales. However, the company managed to improve its fixed asset turnover in 2021 and 2022, indicating better efficiency in utilizing its fixed assets to generate sales. The slight decline in 2023 compared to the previous two years may signal that there was a slight decrease in sales relative to fixed assets.
Overall, Skechers U S A, Inc.'s fixed asset turnover ratios have generally been healthy, fluctuating within a relatively narrow range over the past five years. It is important for the company to continue monitoring and managing its fixed asset turnover to ensure optimal utilization of its assets in generating revenues.
Peer comparison
Dec 31, 2023