Textron Inc (TXT)
Fixed asset turnover
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 13,683,000 | 13,427,000 | 13,162,000 | 12,892,000 | 12,869,000 | 12,555,000 | 12,467,000 | 12,504,000 | 12,382,000 | 12,727,000 | 12,472,000 | 11,753,000 | 11,651,000 | 12,019,000 | 12,543,000 | 13,298,000 | 13,630,000 | 13,345,000 | 13,286,000 | 13,785,000 |
| Property, plant and equipment | US$ in thousands | 2,477,000 | -5,261,000 | -5,212,000 | 2,505,000 | 2,523,000 | 2,443,000 | 2,828,000 | 2,855,000 | 2,538,000 | 2,857,000 | 2,862,000 | — | 2,516,000 | 2,438,000 | — | 2,483,000 | 2,527,000 | 2,497,000 | 2,517,000 | — |
| Fixed asset turnover | 5.52 | — | — | 5.15 | 5.10 | 5.14 | 4.41 | 4.38 | 4.88 | 4.45 | 4.36 | — | 4.63 | 4.93 | — | 5.36 | 5.39 | 5.34 | 5.28 | — |
December 31, 2023 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $13,683,000K ÷ $2,477,000K
= 5.52
Fixed asset turnover measures how efficiently Textron Inc is generating revenue from its fixed assets. A higher fixed asset turnover ratio indicates better asset utilization.
From the data provided in the table, Textron Inc's fixed asset turnover has shown variability over the periods. The highest fixed asset turnover was observed on Dec 31, 2023, at 5.52, indicating that Textron Inc generated $5.52 in revenue for every $1 of fixed assets invested in the business. This suggests strong efficiency in utilizing its fixed assets to generate sales.
The trend in the fixed asset turnover ratio appears to be generally positive over the periods, with some fluctuations. The ratios for the most recent periods (Dec 31, 2022 to Dec 31, 2023) have been consistently above 5, indicating a continued improvement in asset utilization efficiency.
However, there are missing data points in the table, indicating that the fixed asset turnover ratio was not calculated for every reporting period. For better trend analysis and decision-making, it would be beneficial to have data for all periods to track performance consistently.
In conclusion, based on the available data, Textron Inc has shown a generally positive trend in its fixed asset turnover, indicating efficient utilization of fixed assets to generate revenue.
Peer comparison
Dec 31, 2023