Super Micro Computer Inc (SMCI)

Fixed asset turnover

		Jun 30, 2023	Jun 30, 2022	Jun 30, 2021	Jun 30, 2020	Jun 30, 2019
Revenue	US$ in thousands	7,123,480	5,196,100	3,557,420	3,339,280	3,500,360
Property, plant and equipment	US$ in thousands	290,240	285,972	274,713	233,785	207,337
Fixed asset turnover		24.54	18.17	12.95	14.28	16.88

June 30, 2023 calculation

Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $7,123,480K ÷ $290,240K
= 24.54

The fixed asset turnover of Super Micro Computer Inc has displayed a significant increase over the past five years. In particular, the ratio rose from 16.88 in 2019 to 24.54 in 2023, indicating that the company generated $24.54 in sales for each dollar invested in fixed assets. This trend suggests that the company has become more efficient in utilizing its fixed assets to generate sales revenue. The consistent improvement in fixed asset turnover reflects a better utilization of the company's long-term assets, which is a positive indication of operational efficiency and effective asset management. Overall, the increasing trend in fixed asset turnover signals a positive development in the company's ability to generate sales from its fixed asset base.