Verizon Communications Inc (VZ)

Fixed asset turnover

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Revenue (ttm)	US$ in thousands	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	131,868,000	131,374,000	131,087,000	131,219,000
Property, plant and equipment	US$ in thousands	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	91,915,000	88,849,000	87,818,000	87,849,000
Fixed asset turnover		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	1.43	1.48	1.49	1.49

December 31, 2023 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $133,974,000K ÷ $108,310,000K
= 1.24

Verizon Communications Inc's fixed asset turnover ratio has been relatively stable in recent quarters. The fixed asset turnover ratio measures how efficiently the company is utilizing its fixed assets to generate sales. A higher ratio indicates better efficiency in generating sales from fixed assets.

Verizon's fixed asset turnover has ranged between 1.24 and 1.35 over the past eight quarters. The slight fluctuations in the ratio suggest that the company's management of fixed assets to generate revenue has been consistent.

The trend of the fixed asset turnover ratio indicates that Verizon is effectively utilizing its fixed assets to generate sales. A consistent or increasing ratio over time is generally viewed positively as it shows that the company is maximizing the use of its fixed assets.

Overall, the analysis of Verizon Communications Inc's fixed asset turnover ratio suggests that the company is efficiently utilizing its fixed assets to generate revenue, which is a positive indicator of operational efficiency.