Thor Industries Inc (THO)
Fixed asset turnover
| Jul 31, 2024 | Jul 31, 2023 | Jul 31, 2022 | Jul 31, 2021 | Jul 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 10,053,000 | 11,027,500 | 16,228,900 | 12,221,900 | 8,056,620 |
| Property, plant and equipment | US$ in thousands | 1,390,720 | 1,387,810 | 1,258,160 | 1,185,130 | 1,107,650 |
| Fixed asset turnover | 7.23 | 7.95 | 12.90 | 10.31 | 7.27 |
July 31, 2024 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $10,053,000K ÷ $1,390,720K
= 7.23
Thor Industries Inc's fixed asset turnover ratio has fluctuated over the past five years, ranging from a high of 12.90 in July 2022 to a low of 7.23 in July 2024. The fixed asset turnover ratio measures the efficiency with which the company generates revenue from its investment in fixed assets. A higher fixed asset turnover ratio indicates that the company is effectively utilizing its fixed assets to generate sales.
In general, Thor Industries Inc has maintained relatively high fixed asset turnover ratios, with the exception of the decrease in 2024 compared to the previous years. This may suggest that the company has efficiently managed its fixed assets to generate sales revenue. However, the decrease in the fixed asset turnover ratio in 2024 could potentially indicate a decline in the company's ability to generate revenue from its fixed assets efficiently.
It would be essential for further analysis to understand the reasons behind the fluctuation in the fixed asset turnover ratio to determine if it is a result of changes in the company's operations, asset base, or other factors. Additionally, comparing Thor Industries Inc's fixed asset turnover ratio with industry benchmarks or competitor ratios could provide further insights into the company's performance in utilizing its fixed assets.
Peer comparison
Jul 31, 2024