Warner Bros Discovery Inc (WBD)

Fixed asset turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Revenue	US$ in thousands	38,893,000	34,837,000	12,787,000	10,974,000	11,510,000
Property, plant and equipment	US$ in thousands	5,957,000	5,301,000	1,336,000	1,206,000	951,000
Fixed asset turnover		6.53	6.57	9.57	9.10	12.10

December 31, 2023 calculation

Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $38,893,000K ÷ $5,957,000K
= 6.53

Warner Bros. Discovery Inc's fixed asset turnover has shown a fluctuating trend over the past five years. The ratio decreased from 11.72 in 2019 to 6.38 in 2022, indicating a decline in the company's efficiency in generating revenue from its fixed assets. However, there was a significant improvement in 2021 when the ratio increased to 9.12, suggesting better utilization of fixed assets to generate sales.

In 2023, the fixed asset turnover further increased to 6.94, indicating that the company managed to slightly improve its efficiency in generating revenue from its fixed assets compared to the previous year. Despite the improvement, the ratio remains lower than the levels seen in 2019 and 2021.

Overall, Warner Bros. Discovery Inc's fixed asset turnover has shown variability over the years, with the company experiencing both declines and improvements in its ability to generate sales from its fixed assets. This indicates that the company may need to focus on better asset utilization strategies to consistently improve its efficiency in the future.