Texas Instruments Incorporated (TXN)

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	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020
Revenue (ttm)	US$ in thousands	15,641,000	15,711,000	16,092,000	16,801,000	17,519,000	18,112,000	18,821,000	19,502,000	20,028,000	20,190,000	19,592,000	18,960,000	18,344,000	17,588,000	16,762,000	15,421,000	14,461,000	13,735,000	13,689,000	14,118,000
Property, plant and equipment	US$ in thousands	—	—	—	—	—	—	8,525,000	7,665,000	6,876,000	6,485,000	5,931,000	5,439,000	5,141,000	4,021,000	3,678,000	3,431,000	3,269,000	3,190,000	3,201,000	3,233,000
Fixed asset turnover		—	—	—	—	—	—	2.21	2.54	2.91	3.11	3.30	3.49	3.57	4.37	4.56	4.49	4.42	4.31	4.28	4.37

December 31, 2024 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $15,641,000K ÷ $—K
= —

The fixed asset turnover ratio of Texas Instruments Incorporated has been fluctuating over the past few quarters. The ratio measures how efficiently the company is generating revenues from its fixed assets. A higher fixed asset turnover ratio indicates that the company is using its fixed assets more efficiently to generate sales.

From March 31, 2020, to June 30, 2021, the fixed asset turnover ratio of Texas Instruments showed a consistent increasing trend, peaking at 4.56 in June 2021. This signifies an improvement in the company's ability to generate revenue from its fixed assets during this period.

However, starting from December 31, 2021, the fixed asset turnover ratio began to decline steadily. By December 31, 2022, the ratio dropped to 2.91, indicating a decrease in the efficiency of using fixed assets to generate sales.

Subsequently, the fixed asset turnover ratio continued to decline until June 30, 2023, reaching a low of 2.21. The significant decrease in the ratio during this period suggests a potential inefficiency in utilizing fixed assets to drive revenues.

As of the latest available data, the fixed asset turnover ratio has not been reported for the quarters beyond June 30, 2023. It is important for stakeholders to monitor the trend of this ratio in future periods to assess the company's efficiency in utilizing its fixed assets effectively for revenue generation.