Western Digital Corporation (WDC)

Fixed asset turnover

		Jun 30, 2025	Jun 30, 2024	Jun 30, 2023	Jun 30, 2022	Jun 30, 2021
Revenue	US$ in thousands	9,520,000	13,003,000	12,318,000	18,793,000	16,922,000
Property, plant and equipment	US$ in thousands	—	—	3,620,000	3,670,000	3,188,000
Fixed asset turnover		—	—	3.40	5.12	5.31

June 30, 2025 calculation

Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $9,520,000K ÷ $—K
= —

The fixed asset turnover ratio for Western Digital Corporation has demonstrated a notable decline over the observed periods from June 30, 2021, to June 30, 2023. Specifically, the ratio decreased from 5.31 in 2021 to 5.12 in 2022, indicating a slight reduction in sales generated per dollar of net fixed assets. This downward trend accelerated more substantially by June 30, 2023, when the ratio declined to 3.40, reflecting a significant decrease in sales efficiency relative to the company's fixed assets. The data for June 30, 2024, and June 30, 2025, are not available or not reported, precluding further trend analysis beyond the 2023 fiscal year.

This pattern suggests that Western Digital's utilization of fixed assets to generate sales has become less efficient over this period. The decline may be attributable to various factors, including changes in asset utilization, increased capital expenditure without proportional sales growth, asset obsolescence, or shifts in the company's operational or strategic focus. The notable reduction from 2022 to 2023 warrants further investigation into asset management practices, investment strategies, or market conditions affecting sales performance relative to fixed asset base changes during this timeframe.