Texas Pacific Land Trust (TPL)
Fixed asset turnover
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 705,823 | 686,696 | 671,100 | 659,375 | 631,595 | 617,644 | 650,788 | 666,449 | 667,422 | 661,894 | 594,476 | 514,138 | 450,958 | 378,084 |
| Property, plant and equipment | US$ in thousands | 122,578 | 119,108 | 95,511 | 92,200 | 89,587 | 86,600 | 84,324 | 86,192 | 85,478 | 81,556 | 83,444 | 79,996 | 79,722 | 79,204 |
| Fixed asset turnover | 5.76 | 5.77 | 7.03 | 7.15 | 7.05 | 7.13 | 7.72 | 7.73 | 7.81 | 8.12 | 7.12 | 6.43 | 5.66 | 4.77 |
December 31, 2024 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $705,823K ÷ $122,578K
= 5.76
The fixed asset turnover ratio for Texas Pacific Land Trust has shown a generally increasing trend over the evaluated periods, starting at 4.77 in September 2021 and reaching a peak of 8.12 in September 2022. Subsequently, there was a slight decline in the ratio, which stabilized around 7.00 in the following periods. This indicates that the company has been able to generate increased revenue relative to its investment in fixed assets. A higher fixed asset turnover ratio suggests better efficiency in utilizing fixed assets to generate sales. However, the slight decrease towards the end of the period may indicate a potential slowdown in asset utilization efficiency. Further analysis of the company's operational and strategic factors would be required to fully interpret the implications of these fluctuations in fixed asset turnover ratios.
See also:
Texas Pacific Land Trust Net Fixed Asset Turnover (Quarterly Data)