Stryker Corporation (SYK)

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	20,498,000	19,885,000	19,455,000	18,952,000	18,449,000	17,948,000	17,629,000	17,430,000	17,108,000	16,669,000	16,246,000	14,716,000	14,351,000	14,220,000	14,070,000	14,956,000	14,884,000	14,549,000	14,204,000	13,876,000
Property, plant and equipment	US$ in thousands	3,215,000	3,106,000	3,082,000	3,037,000	2,970,000	2,798,000	2,803,000	2,793,000	2,833,000	2,746,000	2,738,000	2,710,000	2,752,000	2,529,000	2,527,000	2,607,000	2,567,000	2,460,000	2,387,000	2,297,000
Fixed asset turnover		6.38	6.40	6.31	6.24	6.21	6.41	6.29	6.24	6.04	6.07	5.93	5.43	5.21	5.62	5.57	5.74	5.80	5.91	5.95	6.04

December 31, 2023 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $20,498,000K ÷ $3,215,000K
= 6.38

The fixed asset turnover ratio for Stryker Corp. has remained relatively consistent over the past eight quarters, ranging from 6.21 to 6.41. This indicates that the company generates approximately $6.21 to $6.41 in sales for every dollar invested in fixed assets.

A consistently high fixed asset turnover ratio suggests that Stryker efficiently utilizes its fixed assets to generate revenue. This efficiency is important as it reflects the company's ability to maximize the productivity of its investments in property, plant, and equipment.

Overall, the stability and strength of Stryker's fixed asset turnover ratio indicate effective management of fixed assets to drive sales and generate value for shareholders.