Twilio Inc (TWLO)
Fixed asset turnover
Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
---|---|---|---|---|---|---|
Revenue | US$ in thousands | 4,458,040 | 4,153,940 | 3,826,320 | 2,841,840 | 1,761,780 |
Property, plant and equipment | US$ in thousands | — | — | 385,320 | 489,900 | 441,849 |
Fixed asset turnover | — | — | 9.93 | 5.80 | 3.99 |
December 31, 2024 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $4,458,040K ÷ $—K
= —
The fixed asset turnover ratio for Twilio Inc. demonstrates a significant upward trajectory over the period from December 31, 2020, to December 31, 2022. Specifically, the ratio increased from 3.99 in 2020 to 5.80 in 2021, and further to 9.93 in 2022. This pattern indicates that the company has been more effectively utilizing its fixed assets to generate revenue during this timeframe.
The substantial rise in the fixed asset turnover ratio suggests an improvement in operational efficiency, possibly reflecting enhanced asset management, increased sales relative to the level of fixed assets, or a strategic shift towards asset-light operations. The ratio's growth from 3.99 to 9.93 over two years represents a more than twofold increase, emphasizing a substantial efficiency gain.
Data for subsequent periods—December 31, 2023, and December 31, 2024—are not available, which precludes analysis of the most recent performance and trend continuation. Nonetheless, the notable improvement through 2022 underscores a period where Twilio's assets were being utilized more productively to generate revenue, contributing positively to its operational efficiency metrics.
Peer comparison
Dec 31, 2024