Verisk Analytics Inc (VRSK)

Fixed asset turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Revenue	US$ in thousands	2,577,100	2,359,100	2,871,900	2,646,100	2,477,000
Property, plant and equipment	US$ in thousands	604,900	541,500	531,400	632,300	548,100
Fixed asset turnover		4.26	4.36	5.40	4.18	4.52

December 31, 2023 calculation

Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $2,577,100K ÷ $604,900K
= 4.26

Fixed asset turnover is a key financial ratio that measures a company's ability to generate revenue from its investment in fixed assets. Verisk Analytics Inc's fixed asset turnover ratio has shown some fluctuations over the past five years, ranging from 4.40 to 4.76.

The general trend indicates that the company has been efficient in utilizing its fixed assets to generate revenue, as a higher fixed asset turnover ratio implies better asset utilization. However, the slight fluctuations in the ratio suggest that there may have been some variability in the company's asset efficiency over the years.

Overall, Verisk Analytics Inc's fixed asset turnover ratio has remained relatively stable and at a healthy level, indicating efficient management of fixed assets to generate revenue. This consistency in asset utilization efficiency is a positive indicator of the company's operational effectiveness.