Ultra Clean Holdings Inc (UCTT)

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	1,734,500	1,856,200	2,056,200	2,243,400	2,374,200	2,422,900	2,341,600	2,248,100	2,101,600	1,856,100	1,665,700	1,495,300	1,398,600	1,315,400	1,206,400	1,127,000	1,066,200	1,037,200	1,017,000	1,041,800
Property, plant and equipment	US$ in thousands	328,300	308,900	306,500	289,900	279,600	242,300	248,600	250,100	242,300	227,900	218,300	157,300	159,200	150,500	148,100	143,400	145,300	143,719	144,505	141,082
Fixed asset turnover		5.28	6.01	6.71	7.74	8.49	10.00	9.42	8.99	8.67	8.14	7.63	9.51	8.79	8.74	8.15	7.86	7.34	7.22	7.04	7.38

December 31, 2023 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $1,734,500K ÷ $328,300K
= 5.28

Ultra Clean Holdings Inc's fixed asset turnover has been fluctuating over the past few quarters, ranging from 5.28 to 10.00. A higher fixed asset turnover ratio indicates that the company is generating more revenue per dollar of fixed assets, which is generally seen as a positive indicator of operational efficiency.

The trend shows an overall increasing pattern until the most recent data point, where there was a slight decline. This suggests that the company has been able to utilize its fixed assets more effectively to generate revenue. However, the recent decline may warrant further investigation into potential factors influencing this reversal in trend.

Overall, a consistently high fixed asset turnover ratio indicates that Ultra Clean Holdings Inc is efficiently managing its fixed assets to drive revenue generation, which is a positive sign for investors and stakeholders.