Verizon Communications Inc (VZ)

Fixed asset turnover

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020
Revenue (ttm)	US$ in thousands	134,788,000	134,237,000	134,243,000	134,043,000	133,974,000	134,095,000	135,000,000	136,193,000	136,835,000	135,651,000	134,325,000	134,300,000	133,613,000	134,238,000	132,866,000	129,549,000	128,292,000	128,375,000	129,726,000	131,350,000
Property, plant and equipment	US$ in thousands	108,522,000	107,528,000	107,890,000	107,863,000	108,310,000	107,490,000	107,270,000	106,987,000	107,434,000	103,004,000	101,310,000	99,843,000	99,696,000	95,756,000	94,202,000	94,876,000	94,833,000	93,182,000	92,754,000	92,177,000
Fixed asset turnover		1.24	1.25	1.24	1.24	1.24	1.25	1.26	1.27	1.27	1.32	1.33	1.35	1.34	1.40	1.41	1.37	1.35	1.38	1.40	1.42

December 31, 2024 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $134,788,000K ÷ $108,522,000K
= 1.24

The fixed asset turnover ratio for Verizon Communications Inc has shown a gradually decreasing trend from March 31, 2020, to December 31, 2024. The ratio decreased from 1.42 in March 31, 2020, to 1.24 in December 31, 2024. This indicates that the company's ability to generate sales from its fixed assets has been declining over this period. A lower fixed asset turnover ratio could suggest inefficiency in asset utilization or slower sales growth relative to the investment in fixed assets. Verizon may need to evaluate its asset management practices to improve the utilization of its fixed assets and enhance operational efficiency.