Thor Industries Inc (THO)
Fixed asset turnover
| Jul 31, 2024 | Apr 30, 2024 | Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | Apr 30, 2020 | Jan 31, 2020 | Oct 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 10,050,200 | 10,164,480 | 10,287,660 | 10,422,340 | 11,027,250 | 12,116,190 | 13,848,390 | 15,377,810 | 16,229,070 | 15,994,200 | 14,792,000 | 13,645,200 | 12,221,680 | 10,945,860 | 9,168,270 | 8,440,550 | 8,057,530 | 8,041,050 | 8,857,250 | 8,171,070 |
| Property, plant and equipment | US$ in thousands | 1,390,720 | — | — | 1,377,650 | 1,387,810 | 1,360,140 | 1,325,030 | 1,268,880 | 1,258,160 | 1,233,910 | 1,216,320 | 1,218,020 | 1,185,130 | 1,158,380 | 1,132,720 | 1,091,940 | 1,107,650 | 1,079,680 | 1,089,160 | 1,104,760 |
| Fixed asset turnover | 7.23 | — | — | 7.57 | 7.95 | 8.91 | 10.45 | 12.12 | 12.90 | 12.96 | 12.16 | 11.20 | 10.31 | 9.45 | 8.09 | 7.73 | 7.27 | 7.45 | 8.13 | 7.40 |
July 31, 2024 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $10,050,200K ÷ $1,390,720K
= 7.23
Thor Industries Inc's fixed asset turnover has been fluctuating over the past few years, indicating varying efficiency in generating revenue from its investment in fixed assets. The ratio has generally been on an upward trend from 7.40 in October 2019 to a peak of 12.96 in July 2022, before declining slightly in the most recent periods.
A high fixed asset turnover suggests that Thor Industries Inc is effectively utilizing its fixed assets to generate sales. The company was able to generate $7.23 in revenue for every dollar invested in fixed assets in July 2024. This indicates efficient asset utilization but the decline in the ratio from the peak suggests a need for further scrutiny of the company's asset management strategies to maintain or improve efficiency.
The variability in the ratio may indicate changes in the nature of Thor Industries Inc's business operations, capital expenditures, or overall financial performance. It would be important for stakeholders to closely monitor this metric to assess the company's operational efficiency and sustainable growth prospects in the long term.
Peer comparison
Jul 31, 2024