Watsco Inc (WSO)
Fixed asset turnover
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 7,618,320 | 7,467,560 | 7,434,360 | 7,298,110 | 7,283,760 | 7,261,780 | 7,170,740 | 7,301,420 | 7,274,350 | 7,204,990 | 6,951,760 | 6,667,640 | 6,280,190 | 5,923,050 | 5,677,150 | 5,182,890 | 5,054,930 | 4,972,530 | 4,830,780 | 4,847,250 |
| Property, plant and equipment | US$ in thousands | — | — | — | — | — | 496,977 | 462,441 | 126,582 | 442,738 | 434,075 | 417,748 | 115,385 | 111,019 | 368,807 | 104,967 | 100,378 | 98,225 | 97,660 | 97,143 | 97,443 |
| Fixed asset turnover | — | — | — | — | — | 14.61 | 15.51 | 57.68 | 16.43 | 16.60 | 16.64 | 57.79 | 56.57 | 16.06 | 54.09 | 51.63 | 51.46 | 50.92 | 49.73 | 49.74 |
December 31, 2024 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $7,618,320K ÷ $—K
= —
The fixed asset turnover ratio for Watsco Inc has shown fluctuations over the reported periods. The ratio started at a high level of approximately 49.74 in March 2020, remaining relatively stable until September 2020. It then gradually increased to reach its peak of 57.79 by March 2022, indicating an efficient utilization of fixed assets to generate sales during this period.
However, there was a significant drop in the fixed asset turnover ratio in the following quarters to levels as low as 14.61 in September 2023. This reduction suggests a potential decline in the company's ability to generate revenue relative to its investment in fixed assets during this time.
It is important to note the missing data points from December 2023 onwards, indicating a lack of available information for further analysis beyond the reported periods. Monitoring the fixed asset turnover ratio going forward is crucial to assess Watsco Inc's effectiveness in utilizing its fixed assets efficiently to drive sales and overall performance.