The TJX Companies Inc (TJX)

Fixed asset turnover

		Feb 3, 2024	Oct 28, 2023	Jul 29, 2023	Apr 29, 2023	Jan 28, 2023	Oct 29, 2022	Jul 30, 2022	Apr 30, 2022	Jan 29, 2022	Oct 30, 2021	Jul 31, 2021	May 1, 2021	Jan 30, 2021	Oct 31, 2020	Aug 1, 2020	May 2, 2020	Feb 1, 2020	Nov 2, 2019	Aug 3, 2019	May 4, 2019
Revenue (ttm)	US$ in thousands	54,112,000	52,435,200	51,336,500	50,421,500	50,045,000	49,201,000	49,566,600	49,558,400	48,238,600	45,096,600	42,682,000	37,514,780	31,836,970	33,400,270	33,734,270	36,848,290	41,716,980	40,637,780	40,012,240	39,561,760
Property, plant and equipment	US$ in thousands	6,571,000	6,262,000	6,166,000	5,899,000	5,783,000	5,573,000	5,390,000	5,289,000	5,271,000	5,165,250	5,107,350	5,067,820	5,036,100	5,004,770	5,100,410	5,201,700	5,325,050	5,250,970	5,041,880	5,018,600
Fixed asset turnover		8.23	8.37	8.33	8.55	8.65	8.83	9.20	9.37	9.15	8.73	8.36	7.40	6.32	6.67	6.61	7.08	7.83	7.74	7.94	7.88

February 3, 2024 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $54,112,000K ÷ $6,571,000K
= 8.23

The fixed asset turnover ratio for The TJX Companies Inc has exhibited fluctuations over the past 20 reporting periods, ranging from a low of 6.32 to a high of 9.37. The company's fixed asset turnover has generally remained above 7, indicating efficient utilization of its fixed assets to generate sales revenue.

In recent periods, the trend has shown a slight decrease in fixed asset turnover, dropping from 9.37 to 8.23. This drop suggests that the company may be experiencing challenges in optimizing its fixed assets to generate revenue efficiently.

Overall, The TJX Companies Inc has demonstrated strong efficiency in using its fixed assets to drive sales, as indicated by consistently high fixed asset turnover ratios. However, the recent decline in this ratio warrants further investigation to identify any potential inefficiencies or operational challenges impacting the company's asset utilization.