The TJX Companies Inc (TJX)

Fixed asset turnover

		Jan 31, 2025	Nov 2, 2024	Aug 3, 2024	May 4, 2024	Feb 3, 2024	Oct 31, 2023	Oct 28, 2023	Jul 31, 2023	Jul 29, 2023	Apr 30, 2023	Apr 29, 2023	Jan 31, 2023	Jan 28, 2023	Oct 31, 2022	Oct 29, 2022	Jul 31, 2022	Jul 30, 2022	Apr 30, 2022	Jan 31, 2022	Jan 29, 2022
Revenue (ttm)	US$ in thousands	56,360,000	56,421,000	55,623,000	55,420,000	55,699,000	52,046,000	50,564,000	49,082,000	50,844,200	52,715,400	53,099,400	53,482,700	50,805,500	48,019,300	47,258,800	48,946,900	50,889,100	51,578,000	52,703,400	50,926,100
Property, plant and equipment	US$ in thousands	—	—	—	—	—	—	6,262,000	—	6,166,000	—	5,899,000	—	5,783,000	—	5,573,000	—	5,390,000	14,356,000	—	5,271,000
Fixed asset turnover		—	—	—	—	—	—	8.07	—	8.25	—	9.00	—	8.79	—	8.48	—	9.44	3.59	—	9.66

January 31, 2025 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $56,360,000K ÷ $—K
= —

Fixed asset turnover is an important financial ratio that measures a company's efficiency in generating revenue from its investment in fixed assets. The fixed asset turnover ratio is calculated by dividing net sales by average fixed assets.

In the case of The TJX Companies Inc, the fixed asset turnover fluctuated over the period provided in the json data. The ratio ranged from a low of 3.59 to a high of 9.66. A higher fixed asset turnover ratio indicates that the company is generating more sales from its investment in fixed assets, which is generally considered favorable.

The highest fixed asset turnover ratio of 9.66 was observed on January 29, 2022, which suggests that for every dollar invested in fixed assets, the company generated $9.66 in sales. This indicates strong efficiency in utilizing fixed assets to drive revenue.

On the other hand, the lowest fixed asset turnover ratio of 3.59 was recorded on April 30, 2022, indicating lower sales generated from fixed assets during that period. It's important to analyze the reasons behind such fluctuations to understand the company's operational efficiency and potential areas for improvement.

Overall, The TJX Companies Inc's fixed asset turnover ratio shows variation over the period, indicating changes in the company's ability to generate sales from its fixed asset base. Further analysis and comparison with industry benchmarks can provide more insights into the company's operational performance and efficiency in utilizing its fixed assets.