Vontier Corp (VNT)
Fixed asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|
| Revenue | US$ in thousands | 3,081,000 | 3,083,800 | 2,921,100 | 2,671,300 |
| Property, plant and equipment | US$ in thousands | 102,300 | 92,100 | 100,600 | 96,800 |
| Fixed asset turnover | 30.12 | 33.48 | 29.04 | 27.60 |
December 31, 2023 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $3,081,000K ÷ $102,300K
= 30.12
The fixed asset turnover ratio of Vontier Corporation has shown a fluctuating trend over the past five years. In 2023, the fixed asset turnover ratio decreased to 30.26 from 34.58 in 2022, indicating that Vontier generated $30.26 in revenue for every dollar invested in fixed assets. Although this decline may raise concerns about the efficiency of utilizing fixed assets to generate sales, it is still relatively high compared to the ratios in 2021 (29.73), 2020 (27.94), and 2019 (27.20).
Overall, the company has been able to efficiently use its fixed assets to generate revenue, with the highest performance seen in 2022. However, there may be a need to monitor the trend closely to ensure the optimal utilization of fixed assets for revenue generation in the future.
Peer comparison
Dec 31, 2023