Teleflex Incorporated (TFX)

Fixed asset turnover

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Revenue	US$ in thousands	3,047,320	2,974,490	2,791,040	2,809,560	2,537,160
Property, plant and equipment	US$ in thousands	—	—	578,416	573,411	473,912
Fixed asset turnover		—	—	4.83	4.90	5.35

December 31, 2024 calculation

Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $3,047,320K ÷ $—K
= —

The fixed asset turnover ratio for Teleflex Incorporated has exhibited a declining trend over the past few years. In 2020, the ratio stood at 5.35, indicating that the company generated $5.35 in revenue for every dollar invested in fixed assets. However, by the end of 2021, the ratio decreased to 4.90, suggesting that the company's efficiency in utilizing its fixed assets to generate revenue slightly declined.

Subsequently, in 2022 and 2023, the fixed asset turnover continued to decrease to 4.83. This indicates that the company's ability to generate revenue from its fixed assets has deteriorated further during this period. Unfortunately, no specific data is available for the following years, 2023 and 2024.

The decreasing trend in fixed asset turnover could signify several potential issues for Teleflex Incorporated, such as underutilization of fixed assets, inefficient asset management, or declining sales relative to fixed asset investments. Management may need to review their asset utilization strategies and operational efficiency to address this decline and improve the company's overall financial performance.