Valero Energy Corporation (VLO)

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	144,216,000	150,596,000	156,657,000	173,795,000	175,838,000	169,727,000	154,779,000	130,878,000	113,188,000	94,227,000	80,668,000	63,467,000	64,912,000	76,187,000	87,627,000	106,163,000	108,324,000	109,175,000	112,775,000	114,857,000
Property, plant and equipment	US$ in thousands	28,014,000	30,253,000	30,570,000	30,780,000	28,700,000	30,508,000	30,754,000	30,876,000	29,001,000	30,440,000	30,461,000	30,379,000	28,767,000	28,521,000	28,428,000	30,526,000	29,264,000	28,890,000	28,784,000	28,408,000
Fixed asset turnover		5.15	4.98	5.12	5.65	6.13	5.56	5.03	4.24	3.90	3.10	2.65	2.09	2.26	2.67	3.08	3.48	3.70	3.78	3.92	4.04

December 31, 2023 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $144,216,000K ÷ $28,014,000K
= 5.15

Fixed asset turnover is a financial ratio that measures a company's efficiency in generating revenue from its fixed assets. A higher fixed asset turnover indicates that the company is utilizing its fixed assets effectively to generate sales.

Looking at the trend of Valero Energy Corp.'s fixed asset turnover over the past eight quarters, we can see a generally increasing pattern. The company's fixed asset turnover ratio has been consistently above 4, indicating that Valero has been able to efficiently use its fixed assets to generate revenue.

The ratio peaked at 5.66 in Q1 2023, showing that Valero was particularly effective in generating sales relative to its fixed asset base during that period. This was followed by a slight decline in subsequent quarters but still maintained relatively high levels.

Overall, Valero's performance in terms of fixed asset turnover demonstrates the company's ability to maximize the productivity of its fixed assets to drive revenue growth.