Vontier Corp (VNT)
Fixed asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 2,970,600 | 3,081,000 | 3,083,800 | 2,921,100 | 2,671,300 |
| Property, plant and equipment | US$ in thousands | 120,200 | 102,300 | 92,100 | 100,600 | 96,800 |
| Fixed asset turnover | 24.71 | 30.12 | 33.48 | 29.04 | 27.60 |
December 31, 2024 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $2,970,600K ÷ $120,200K
= 24.71
The fixed asset turnover ratio for Vontier Corp has shown a generally positive trend over the past five years. As of December 31, 2020, the ratio was 27.60, indicating that the company generated $27.60 in sales for every dollar invested in fixed assets. This ratio increased steadily to 29.04 in 2021 and peaked at 33.48 in 2022, reflecting improved efficiency in utilizing fixed assets to generate revenue.
However, there was a slight decline in the fixed asset turnover ratio in 2023 to 30.12, which may be attributed to fluctuations in sales or changes in the composition of the asset base. In the most recent year, as of December 31, 2024, the fixed asset turnover ratio decreased further to 24.71, potentially signaling a decrease in overall asset utilization efficiency or a shift in the company's operational dynamics.
Overall, the trend in Vontier Corp's fixed asset turnover suggests that the company has been effectively leveraging its fixed assets to generate sales, with some fluctuations observed in recent years. Further analysis and consideration of industry benchmarks may be warranted to fully assess the company's performance in this aspect.
Peer comparison
Dec 31, 2024