Synnex Corporation (SNX)

Fixed asset turnover

		Feb 29, 2024	Nov 30, 2023	Aug 31, 2023	Feb 28, 2023	Nov 30, 2022	Aug 31, 2022	May 31, 2022	Feb 28, 2022	Nov 30, 2021	Aug 31, 2021	May 31, 2021	Feb 28, 2021	Nov 30, 2020	Aug 31, 2020	May 31, 2020	Feb 29, 2020	Nov 30, 2019	Aug 31, 2019	May 31, 2019	Feb 28, 2019
Revenue (ttm)	US$ in thousands	57,468,600	59,741,300	60,690,100	61,999,300	62,343,900	61,707,200	51,558,160	42,145,180	31,614,190	22,121,730	22,221,030	20,835,140	19,977,150	20,391,740	21,244,640	22,452,530	23,576,000	22,664,770	21,412,120	20,685,810
Property, plant and equipment	US$ in thousands	459,093	450,024	437,017	429,882	421,064	412,305	418,083	429,765	483,443	152,293	154,741	155,869	157,645	583,951	563,346	575,772	569,899	552,904	564,290	568,549
Fixed asset turnover		125.18	132.75	138.87	144.22	148.06	149.66	123.32	98.07	65.39	145.26	143.60	133.67	126.72	34.92	37.71	39.00	41.37	40.99	37.95	36.38

February 29, 2024 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $57,468,600K ÷ $459,093K
= 125.18

Synnex Corporation has exhibited fluctuations in its fixed asset turnover ratio over the periods indicated in the table. The ratio peaked at 149.66 in August 2022, indicating that the company generated $149.66 in sales revenue for every dollar invested in fixed assets during that period. The trend then experienced a decline before gradually increasing again, with a peak of 148.06 in November 2022.

Subsequently, the fixed asset turnover ratio decreased to 65.39 by August 2023, suggesting a slowdown in sales relative to the investment in fixed assets during that period. However, the ratio then rebounded significantly to 138.87 by August 2023, demonstrating higher efficiency in utilizing fixed assets to generate sales revenue.

Overall, the varying levels of fixed asset turnover suggest that Synnex Corporation's management may have made adjustments in their asset management strategies over the analyzed period to optimize the utilization of fixed assets in generating sales revenue. Investors and stakeholders should continue monitoring this ratio to assess the company's operational efficiency and asset productivity.