Simpson Manufacturing Company Inc (SSD)
Fixed asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 2,230,640 | 2,207,600 | 2,106,880 | 1,564,670 | 1,265,190 |
| Property, plant and equipment | US$ in thousands | 531,655 | 418,612 | 361,555 | 259,869 | 255,184 |
| Fixed asset turnover | 4.20 | 5.27 | 5.83 | 6.02 | 4.96 |
December 31, 2024 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $2,230,640K ÷ $531,655K
= 4.20
Simpson Manufacturing Company Inc's fixed asset turnover has shown fluctuations over the past five years. The ratio increased from 4.96 in December 2020 to 6.02 in December 2021, indicating that the company generated $6.02 in sales for every dollar invested in fixed assets. However, by December 2024, the fixed asset turnover decreased to 4.20. This suggests that the company's efficiency in utilizing its fixed assets to generate sales has declined.
Overall, despite some volatility, Simpson Manufacturing Company Inc has generally maintained a healthy fixed asset turnover ratio, indicating effective utilization of fixed assets to generate revenue. Monitoring this ratio over time can provide insights into the company's operational efficiency and asset management strategies.
Peer comparison
Dec 31, 2024