VF Corporation (VFC)
Fixed asset turnover
Mar 31, 2025 | 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 | ||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Revenue (ttm) | US$ in thousands | 7,499,160 | 9,877,750 | 10,004,120 | 10,280,410 | 10,459,450 | 10,820,470 | 11,390,860 | 11,437,220 | 11,612,480 | 11,697,530 | 11,791,240 | 11,908,880 | 11,841,840 | 11,599,850 | 10,947,010 | 10,357,090 | 9,238,820 | 8,758,570 | 9,171,780 | 9,956,730 |
Property, plant and equipment | US$ in thousands | — | — | — | — | — | — | 2,224,210 | 2,292,890 | 2,314,620 | 2,225,700 | 2,201,290 | 2,235,320 | 2,288,830 | 2,352,240 | 2,391,520 | 2,443,170 | 2,450,310 | 955,845 | 933,990 | 957,309 |
Fixed asset turnover | — | — | — | — | — | — | 5.12 | 4.99 | 5.02 | 5.26 | 5.36 | 5.33 | 5.17 | 4.93 | 4.58 | 4.24 | 3.77 | 9.16 | 9.82 | 10.40 |
March 31, 2025 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $7,499,160K ÷ $—K
= —
Fixed asset turnover is a financial ratio that measures a company's ability to generate revenue from its investment in fixed assets. It indicates how efficiently the company is utilizing its fixed assets to generate sales.
Analyzing VF Corporation's fixed asset turnover over the past few years reveals a declining trend. From June 30, 2020, where the ratio was at a high of 10.40, the ratio steadily decreased to 4.24 on June 30, 2021, reflecting a significant reduction in the efficiency of fixed asset utilization for revenue generation during this period.
Subsequently, there was a slight improvement in the fixed asset turnover ratio, reaching 5.36 on September 30, 2022. This improvement suggests that VF Corporation may have made some adjustments to enhance the utilization of its fixed assets to generate sales.
However, the ratio fluctuated around this level over the following quarters, with minor variations seen up to March 31, 2025. The consistency in the ratio around the 5.00 mark indicates VF Corporation's ability to maintain a moderate level of efficiency in utilizing its fixed assets for revenue generation during this period.
It is important for VF Corporation to carefully monitor its fixed asset turnover ratio and take appropriate measures to optimize the utilization of fixed assets to enhance revenue generation efficiency in the future.
Peer comparison
Mar 31, 2025