Skechers USA Inc (SKX)
Fixed asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 8,969,350 | 8,000,340 | 7,444,550 | 6,285,030 | 4,597,410 |
| Property, plant and equipment | US$ in thousands | — | — | 2,545,940 | 2,353,490 | 935,441 |
| Fixed asset turnover | — | — | 2.92 | 2.67 | 4.91 |
December 31, 2024 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $8,969,350K ÷ $—K
= —
The fixed asset turnover ratio measures how efficiently a company is generating revenue from its fixed assets. In the case of Skechers USA Inc, the fixed asset turnover has shown a decreasing trend over the past few years. In 2020, the ratio was 4.91, indicating that the company generated $4.91 in revenue for every dollar invested in fixed assets. However, by the end of 2021, this ratio decreased to 2.67, suggesting a lower level of efficiency in utilizing its fixed assets to generate revenue.
In 2022, there was a slight improvement in the fixed asset turnover ratio to 2.92, although it still remained below the 2020 level. The absence of data for 2023 and 2024 makes it challenging to provide a complete picture of the company's fixed asset turnover performance during those years.
Overall, the decreasing trend in fixed asset turnover may indicate a potential inefficiency in managing and utilizing Skechers USA Inc's fixed assets to generate revenue. It would be essential for the company to further investigate the reasons behind this decline and implement strategies to improve the utilization of its fixed assets for better financial performance in the future.
Peer comparison
Dec 31, 2024