Sempra Energy (SRE)
Fixed asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 16,720,000 | 14,439,000 | 12,857,000 | 11,370,000 | 10,829,000 |
| Property, plant and equipment | US$ in thousands | 71,156,000 | 47,782,000 | 43,894,000 | 40,003,000 | 36,452,000 |
| Fixed asset turnover | 0.23 | 0.30 | 0.29 | 0.28 | 0.30 |
December 31, 2023 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $16,720,000K ÷ $71,156,000K
= 0.23
The fixed asset turnover ratio for Sempra has remained relatively consistent over the past five years, with values ranging from 0.28 to 0.30. This ratio indicates that Sempra generates approximately $0.30 in revenue for every dollar invested in fixed assets. The stability of the fixed asset turnover ratio suggests that Sempra has been able to effectively utilize its fixed assets to generate revenue consistently over the years. However, a low fixed asset turnover ratio may also indicate that the company is not efficiently utilizing its fixed assets to generate revenue compared to its industry peers. Further analysis of industry benchmarks and trends over time would provide more insight into Sempra's performance in this area.
Peer comparison
Dec 31, 2023