Telephone and Data Systems Inc (TDS)
Fixed asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 4,964,000 | 5,160,000 | 5,413,000 | 5,329,000 | 5,225,000 |
| Property, plant and equipment | US$ in thousands | — | — | 4,760,000 | 4,361,000 | 3,972,000 |
| Fixed asset turnover | — | — | 1.14 | 1.22 | 1.32 |
December 31, 2024 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $4,964,000K ÷ $—K
= —
The fixed asset turnover ratio for Telephone and Data Systems Inc has been showing a declining trend over the years. In 2020, the ratio was 1.32, indicating that the company generated $1.32 in revenue for every dollar invested in fixed assets. However, by the end of 2021, this ratio decreased to 1.22, and further fell to 1.14 by the end of 2022.
The absence of data for 2023 and 2024 makes it challenging to assess the current state of fixed asset turnover for the company. However, based on the trend observed up to 2022, it suggests that the company may be facing challenges in utilizing its fixed assets efficiently to generate revenue.
A declining fixed asset turnover ratio could indicate inefficiencies in asset utilization, underperformance in generating sales from fixed assets, or overinvestment in fixed assets relative to the level of sales. This trend may warrant a closer examination of the company's operational efficiency and asset management strategies to improve performance in this aspect.
Peer comparison
Dec 31, 2024