The Wendy’s Co (WEN)
Fixed asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 2,246,490 | 2,181,580 | 2,095,500 | 1,897,000 | 1,733,820 |
| Property, plant and equipment | US$ in thousands | — | — | 895,778 | 1,963,770 | 915,889 |
| Fixed asset turnover | — | — | 2.34 | 0.97 | 1.89 |
December 31, 2024 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $2,246,490K ÷ $—K
= —
The fixed asset turnover ratio for The Wendy's Co has fluctuated over the past few years, indicating varying levels of efficiency in utilizing its fixed assets to generate revenue.
In December 2020, the fixed asset turnover was 1.89, suggesting that the company generated $1.89 in revenue for every dollar invested in fixed assets during that period. This ratio decreased significantly to 0.97 by December 2021, indicating a decline in the efficiency of asset utilization.
However, there was a notable improvement in efficiency by December 2022, with the fixed asset turnover ratio increasing to 2.34. This suggests that the company was able to generate $2.34 in revenue for every dollar of fixed assets invested, potentially indicating more effective management of its asset base.
The data for December 2023 and December 2024 is not provided, but it is worth noting that a fixed asset turnover ratio of "—" indicates that revenue data is missing for those years, making it impossible to assess the efficiency of fixed asset utilization during those periods.
Overall, the fluctuation in The Wendy's Co's fixed asset turnover ratio highlights the importance of effectively managing and utilizing fixed assets to drive revenue generation and operational efficiency.
Peer comparison
Dec 31, 2024