Xencor Inc (XNCR)

Fixed asset turnover

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Revenue (ttm)	US$ in thousands	186,941	159,035	123,534	105,187	169,448	300,051	291,251	346,181	294,209	181,761	198,671	128,003	129,246	90,908	79,618	87,539	166,940	174,988	181,170	160,553
Property, plant and equipment	US$ in thousands	66,124	68,035	67,997	66,685	59,183	51,040	38,855	28,411	28,240	24,179	23,132	22,301	21,682	19,771	16,239	16,799	15,805	13,868	12,128	11,456
Fixed asset turnover		2.83	2.34	1.82	1.58	2.86	5.88	7.50	12.18	10.42	7.52	8.59	5.74	5.96	4.60	4.90	5.21	10.56	12.62	14.94	14.01

December 31, 2023 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $186,941K ÷ $66,124K
= 2.83

Xencor Inc's fixed asset turnover ratio has exhibited a fluctuating trend over the past eight quarters. The ratio measures how efficiently the company generates revenue from its fixed assets. A higher fixed asset turnover ratio indicates better utilization of fixed assets to generate revenue.

In Q4 2023, the fixed asset turnover ratio was 2.55, showing an increase from the previous quarter's 2.14. This suggests that Xencor Inc improved its efficiency in generating revenue from its fixed assets in the most recent quarter.

The ratio was relatively stable in Q2 and Q1 of 2023 at 1.67 and 1.47, respectively, indicating a consistent level of fixed asset utilization during that period. However, the ratio saw a significant decline in Q4 2022 compared to the previous quarters, with a value of 2.78, implying a decrease in revenue generated per dollar of fixed assets.

Notably, in Q2 and Q1 of 2022, Xencor Inc's fixed asset turnover ratio was considerably high at 7.45 and 11.50, respectively, indicating exceptional efficiency in revenue generation from fixed assets during that period. However, the ratio experienced a substantial decline in subsequent quarters, denoting a potential decrease in operational efficiency or a change in the company's asset base.

Overall, while the fixed asset turnover ratio of Xencor Inc has shown some fluctuations, it is essential for the company to closely monitor and manage the efficiency of its fixed asset utilization to sustain and improve its overall financial performance and profitability.