Xpel Inc (XPEL)

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
Revenue (ttm)	US$ in thousands	395,362	367,671	354,472	335,716	322,032	313,502	292,841	278,485	258,608	237,501	215,221	182,193	158,356	149,325	138,728	133,070
Property, plant and equipment	US$ in thousands	16,980	15,690	15,523	15,311	14,203	12,658	12,169	11,364	9,898	8,663	7,557	5,712	4,706	4,592	4,550	4,544
Fixed asset turnover		23.28	23.43	22.84	21.93	22.67	24.77	24.06	24.51	26.13	27.42	28.48	31.90	33.65	32.52	30.49	29.28

December 31, 2023 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $395,362K ÷ $16,980K
= 23.28

Fixed asset turnover is a financial ratio that measures a company's ability to generate revenue relative to its investment in fixed assets. A higher fixed asset turnover ratio typically indicates more efficient utilization of fixed assets in generating sales.

Based on the data provided for XPEL Inc, the fixed asset turnover ratios for the last eight quarters have been relatively high and consistent, ranging between 22.07 and 24.94. This implies that over the analyzed period, XPEL Inc has been effectively using its fixed assets to generate sales revenue.

The stability and high values of the fixed asset turnover ratio indicate that XPEL Inc has been efficient in managing and utilizing its fixed assets to drive revenue growth. Consistently high fixed asset turnover ratios suggest effective asset management and operational efficiency within the company.

Overall, the fixed asset turnover ratio analysis suggests that XPEL Inc has been successful in maximizing the productivity of its fixed assets to support its revenue-generating activities.