T-Mobile US Inc (TMUS)
Fixed asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 80,208,000 | 77,477,000 | 78,416,000 | 75,841,000 | 64,173,000 |
| Property, plant and equipment | US$ in thousands | 38,533,000 | 40,432,000 | 42,086,000 | 39,803,000 | 41,175,000 |
| Fixed asset turnover | 2.08 | 1.92 | 1.86 | 1.91 | 1.56 |
December 31, 2024 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $80,208,000K ÷ $38,533,000K
= 2.08
The fixed asset turnover ratio of T-Mobile US Inc has shown consistent improvement over the years, indicating the company's ability to generate revenue from its investment in fixed assets. From 1.56 in 2020, the ratio increased to 2.08 by December 31, 2024. This upward trend signifies that T-Mobile efficiently utilizes its fixed assets to generate sales, which is a positive sign for investors and creditors. The company's management should continue monitoring and managing its fixed asset base to maintain or further improve this ratio in the future, ensuring sustainable growth and profitability.