Sempra Energy (SRE)
Fixed asset turnover
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 16,720,000 | 16,684,000 | 16,967,000 | 17,179,000 | 14,439,000 | 14,828,000 | 14,224,000 | 13,418,000 | 12,857,000 | 12,184,000 | 11,815,000 | 11,600,000 | 11,370,000 | 11,142,000 | 11,256,000 | 10,960,000 | 10,829,000 | 10,712,000 | 10,519,000 | 10,464,000 |
| Property, plant and equipment | US$ in thousands | 71,156,000 | 53,172,000 | 51,478,000 | 49,805,000 | 47,782,000 | 46,439,000 | 45,402,000 | 44,602,000 | 43,894,000 | 42,758,000 | 41,916,000 | 40,981,000 | 40,003,000 | 38,784,000 | 37,945,000 | 37,067,000 | 36,452,000 | 35,520,000 | 35,282,000 | 34,698,000 |
| Fixed asset turnover | 0.23 | 0.31 | 0.33 | 0.34 | 0.30 | 0.32 | 0.31 | 0.30 | 0.29 | 0.28 | 0.28 | 0.28 | 0.28 | 0.29 | 0.30 | 0.30 | 0.30 | 0.30 | 0.30 | 0.30 |
December 31, 2023 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $16,720,000K ÷ $71,156,000K
= 0.23
The fixed asset turnover ratio measures the efficiency with which a company generates revenue from its fixed assets. A higher ratio indicates that the company is utilizing its fixed assets more effectively to generate sales.
Analyzing Sempra's fixed asset turnover over the past eight quarters, we observe that the ratio has ranged from 0.30 to 0.34. This indicates that for every dollar invested in fixed assets, Sempra has generated between $0.30 and $0.34 in sales.
While the ratio has shown some fluctuation over the periods analyzed, there is no clear trend of improvement or deterioration. However, it is worth noting that the ratio has mostly remained within a relatively narrow range, suggesting some consistency in Sempra's ability to generate revenue from its fixed assets.
Further analysis would be required to determine the specific factors influencing the company's fixed asset turnover and whether there are opportunities for improvement in asset utilization efficiency.
Peer comparison
Dec 31, 2023