Teradyne Inc (TER)

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	2,676,297	2,737,534	2,860,875	3,017,204	3,155,045	3,308,255	3,431,683	3,676,647	3,702,883	3,576,806	3,445,789	3,198,720	3,121,469	3,017,150	2,779,704	2,505,221	2,294,965	2,159,873	2,144,683	2,107,434
Property, plant and equipment	US$ in thousands	445,492	436,449	437,077	432,381	418,683	415,181	411,263	399,485	387,240	390,545	395,395	402,465	394,800	386,170	353,595	332,241	320,216	307,567	295,895	283,300
Fixed asset turnover		6.01	6.27	6.55	6.98	7.54	7.97	8.34	9.20	9.56	9.16	8.71	7.95	7.91	7.81	7.86	7.54	7.17	7.02	7.25	7.44

December 31, 2023 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $2,676,297K ÷ $445,492K
= 6.01

Teradyne, Inc.'s fixed asset turnover has been on a declining trend over the last several quarters, moving from 9.20 in Q1 2022 to 6.01 in Q4 2023. This indicates that the company is generating less revenue from its fixed assets in recent quarters. While a higher fixed asset turnover is generally more favorable as it suggests efficient utilization of assets to generate sales, the decreasing trend may raise concerns about the company's asset efficiency or sales performance. Further analysis is suggested to understand the factors contributing to this downward trend and to assess the overall operational efficiency of Teradyne, Inc.