Tidewater Inc (TDW)

Fixed asset turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Revenue	US$ in thousands	968,844	627,918	341,080	375,228	486,549
Property, plant and equipment	US$ in thousands	1,315,120	796,655	688,040	780,318	780,318
Fixed asset turnover		0.74	0.79	0.50	0.48	0.62

December 31, 2023 calculation

Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $968,844K ÷ $1,315,120K
= 0.74

Fixed asset turnover ratio measures the efficiency of a company in generating sales revenue from its investments in fixed assets. A higher ratio indicates better utilization of fixed assets to generate sales.

Tidewater Inc's fixed asset turnover has been fluctuating over the past five years, ranging from 0.48 in 2020 to 0.79 in 2022. The ratio decreased to 0.74 in 2023, indicating a slight decline in the efficiency of generating sales from fixed assets compared to the previous year.

In 2023, for every dollar invested in fixed assets, Tidewater Inc generated $0.74 in sales revenue. This suggests that there may be room for improvement in the utilization of fixed assets to increase sales. Further analysis of the company's operational efficiency and asset management practices may be necessary to understand the factors contributing to the fluctuations in the fixed asset turnover ratio.