Victoria's Secret & Co (VSCO)
Fixed asset turnover
| Feb 3, 2024 | Jan 28, 2023 | Jan 29, 2022 | ||
|---|---|---|---|---|
| Revenue | US$ in thousands | 6,083,000 | 6,284,000 | 6,758,000 |
| Property, plant and equipment | US$ in thousands | 843,000 | 846,000 | 957,000 |
| Fixed asset turnover | 7.22 | 7.43 | 7.06 |
February 3, 2024 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $6,083,000K ÷ $843,000K
= 7.22
The fixed asset turnover ratio for Victoria's Secret & Co has varied over the past three years, with figures of 7.22 in 2024, 7.43 in 2023, and 7.06 in 2022. This ratio measures the efficiency with which the company is utilizing its fixed assets to generate sales. A higher fixed asset turnover ratio indicates that the company is generating more revenue per dollar of fixed assets invested.
In this case, the slight dip in the fixed asset turnover ratio from 2023 to 2024 suggests a slight decrease in the efficiency of Victoria's Secret & Co in utilizing its fixed assets to generate sales. However, the ratio remains relatively high across all three years, indicating that the company is effectively leveraging its fixed assets to drive revenue generation.
Further analysis and comparison with industry benchmarks or trends would provide more insights into the company's operational efficiency and asset management strategies.
Peer comparison
Feb 3, 2024