Tractor Supply Company (TSCO)
Fixed asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 14,555,700 | 14,204,700 | 12,731,100 | 10,620,400 | 8,351,930 |
| Property, plant and equipment | US$ in thousands | 2,437,180 | 2,083,620 | 1,617,810 | 1,248,960 | 1,163,960 |
| Fixed asset turnover | 5.97 | 6.82 | 7.87 | 8.50 | 7.18 |
December 31, 2023 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $14,555,700K ÷ $2,437,180K
= 5.97
Tractor Supply Company's fixed asset turnover has exhibited a decreasing trend over the last five years. The company's fixed asset turnover ratio was 5.97 in 2023, down from 6.82 in 2022, 7.87 in 2021, and 8.50 in 2020. This indicates that the company generated $5.97 in revenue for every dollar invested in fixed assets in 2023. The declining trend in fixed asset turnover suggests that Tractor Supply Company may be experiencing challenges in efficiently utilizing its fixed assets to generate sales revenue. Further analysis of the company's operational efficiency and capital expenditure strategies is recommended to identify potential areas for improvement in asset utilization.
Peer comparison
Dec 31, 2023