ViaSat Inc (VSAT)
Fixed asset turnover
| Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | Mar 31, 2021 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 2,907,980 | 4,186,140 | 2,711,450 | 2,183,980 | 2,224,980 |
| Property, plant and equipment | US$ in thousands | 7,557,210 | 4,378,280 | 3,704,990 | 3,050,480 | 2,586,740 |
| Fixed asset turnover | 0.38 | 0.96 | 0.73 | 0.72 | 0.86 |
March 31, 2024 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $2,907,980K ÷ $7,557,210K
= 0.38
Fixed asset turnover is a financial ratio that measures how efficiently a company is generating revenue from its fixed assets. ViaSat Inc's fixed asset turnover has fluctuated over the past five years. In the most recent fiscal year ending on March 31, 2024, the fixed asset turnover was 0.38, indicating that the company generated $0.38 in revenue for every $1 invested in fixed assets.
Comparing this figure to the previous years, we observe a significant decline from 0.96 in the fiscal year ending on March 31, 2023, to 0.38 in the current year. This suggests a notable decrease in the company's efficiency in utilizing its fixed assets to generate revenue. The trend over the five-year period shows some variability, with ratios ranging from 0.72 to 0.96.
A fixed asset turnover below 1 may indicate suboptimal utilization of fixed assets, which could be due to various factors such as underutilization of assets, aging equipment, or inefficient operations. It is crucial for ViaSat Inc to investigate the reasons behind this decline in fixed asset turnover and implement strategies to improve the efficiency of its asset utilization in order to enhance overall operational performance and profitability.
Peer comparison
Mar 31, 2024