Strategic Education Inc (STRA)

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	1,133,551	1,103,905	1,081,092	1,066,976	1,069,225	1,071,595	1,078,450	1,094,322	1,114,981	1,106,284	1,064,163	1,018,617	1,004,460	1,000,738	1,014,628	1,015,848	997,137	975,468	894,666	764,224
Property, plant and equipment	US$ in thousands	118,529	117,872	121,066	124,298	132,845	136,073	141,736	152,742	150,589	147,246	153,812	164,277	158,854	115,607	117,247	117,284	117,029	116,489	118,462	119,040
Fixed asset turnover		9.56	9.37	8.93	8.58	8.05	7.88	7.61	7.16	7.40	7.51	6.92	6.20	6.32	8.66	8.65	8.66	8.52	8.37	7.55	6.42

December 31, 2023 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $1,133,551K ÷ $118,529K
= 9.56

Fixed asset turnover is a key financial ratio that measures a company's ability to generate sales revenue from its investment in fixed assets. In the case of Strategic Education Inc, the fixed asset turnover has been showing an increasing trend over the past eight quarters, indicating improved efficiency in utilizing its fixed assets to generate sales.

The fixed asset turnover ratio for Q4 2023 stands at 9.56, which means that for every dollar invested in fixed assets, the company generated $9.56 in sales revenue during the quarter. This is an improvement from the previous quarter, Q3 2023, where the ratio was 9.33.

Looking further back, the trend continues to show improvement, with the ratio steadily increasing from Q1 2022 to Q4 2023. This suggests that Strategic Education Inc has been able to effectively leverage its fixed assets to drive sales growth and improve operational efficiency over time.

Overall, the increasing trend in fixed asset turnover indicates that Strategic Education Inc has been successful in maximizing the productivity of its fixed assets, which is a positive sign for investors and stakeholders evaluating the company's operational performance and asset utilization.