Yelp Inc (YELP)
Fixed asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 1,350,660 | 1,205,530 | 1,040,560 | 880,779 | 1,018,980 |
| Property, plant and equipment | US$ in thousands | 68,684 | 77,224 | 83,857 | 101,718 | 110,949 |
| Fixed asset turnover | 19.66 | 15.61 | 12.41 | 8.66 | 9.18 |
December 31, 2023 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $1,350,660K ÷ $68,684K
= 19.66
Yelp Inc's fixed asset turnover has exhibited an upward trend over the past five years, indicating improved efficiency in generating revenue relative to its investment in fixed assets. The ratio has steadily increased from 9.14 in 2019 to 19.47 in 2023. This implies that Yelp Inc generated $19.47 in revenue for every dollar invested in fixed assets in 2023, compared to $9.14 in 2019.
The significant improvement in fixed asset turnover suggests that the company has been able to utilize its fixed assets more effectively to drive sales growth. This could be attributed to better asset utilization, operational efficiency, or strategic investments in technology and infrastructure. Overall, the increasing trend in fixed asset turnover reflects positively on Yelp Inc's operational performance and management of its asset base.
Peer comparison
Dec 31, 2023