Simply Good Foods Co (SMPL)
Fixed asset turnover
| Aug 31, 2024 | Aug 26, 2023 | Aug 27, 2022 | Aug 28, 2021 | Aug 29, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 1,331,320 | 1,242,670 | 1,168,680 | 1,005,610 | 816,641 |
| Property, plant and equipment | US$ in thousands | 24,830 | 24,861 | 18,157 | 16,584 | 11,850 |
| Fixed asset turnover | 53.62 | 49.98 | 64.37 | 60.64 | 68.91 |
August 31, 2024 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $1,331,320K ÷ $24,830K
= 53.62
The fixed asset turnover for Simply Good Foods Co has been fluctuating over the past five years. The ratio indicates how efficiently the company is utilizing its fixed assets to generate revenue. A higher fixed asset turnover ratio generally indicates better efficiency in asset utilization.
The trend in the fixed asset turnover for Simply Good Foods Co shows a general decline from 2020 to 2023, where the ratio decreased from 68.91 to 49.98. However, in 2024, there was a noticeable improvement in the ratio, increasing to 53.62, reflecting a potential increase in the efficiency of fixed asset utilization.
Overall, the company's fixed asset turnover has seen some variability but remains relatively high, indicating that Simply Good Foods Co has been effectively generating revenue relative to its investment in fixed assets. Further analysis of the company's operational and financial strategies would be required to better understand the factors driving these fluctuations in the fixed asset turnover ratio.
Peer comparison
Aug 31, 2024