WEC Energy Group Inc (WEC)

Fixed asset turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Revenue	US$ in thousands	8,893,000	9,597,400	8,316,000	7,241,700	7,523,100
Property, plant and equipment	US$ in thousands	31,581,500	29,113,800	26,982,400	25,707,400	23,620,100
Fixed asset turnover		0.28	0.33	0.31	0.28	0.32

December 31, 2023 calculation

Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $8,893,000K ÷ $31,581,500K
= 0.28

The fixed asset turnover ratio measures the efficiency of a company in generating revenue from its investment in fixed assets. A higher turnover ratio indicates that the company is generating more revenue per dollar of investment in fixed assets.

Based on the data provided for WEC Energy Group Inc, the fixed asset turnover ratio has fluctuated over the past five years. In 2023, the ratio decreased to 0.28 from 0.33 in 2022, indicating a decline in the company's ability to generate revenue from its fixed assets. This may suggest that the company's fixed assets are not being utilized as efficiently in generating sales.

Compared to the previous years, the fixed asset turnover ratio in 2023 is on the lower end of the range observed, with similar levels to 2020. This could imply that there may be inefficiencies in the utilization of fixed assets or a decline in revenue generation relative to the investment in fixed assets.

Further analysis and comparison with industry benchmarks and trends within the company's sector would be necessary to provide a more comprehensive assessment of WEC Energy Group Inc's fixed asset turnover performance.