Zurn Elkay Water Solutions Corporation (ZWS)
Fixed asset turnover
| Sep 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 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 1,549,900 | 1,532,800 | 1,530,500 | 1,502,500 | 1,523,700 | 1,409,800 | 1,282,100 | 1,140,500 | 1,277,000 | 1,554,600 | 1,834,900 | 2,100,000 | 1,989,500 | 2,024,100 | 1,984,100 | 2,011,200 | 2,068,300 | 2,083,700 | 2,081,800 | 2,078,700 |
| Property, plant and equipment | US$ in thousands | 165,400 | 171,500 | 159,500 | 189,100 | 192,600 | 201,500 | 183,000 | 202,100 | 61,600 | 63,100 | 64,400 | 399,500 | 412,700 | 426,100 | 418,100 | 375,600 | 378,800 | 372,800 | 373,100 | 382,600 |
| Fixed asset turnover | 9.37 | 8.94 | 9.60 | 7.95 | 7.91 | 7.00 | 7.01 | 5.64 | 20.73 | 24.64 | 28.49 | 5.26 | 4.82 | 4.75 | 4.75 | 5.35 | 5.46 | 5.59 | 5.58 | 5.43 |
September 30, 2024 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $1,549,900K ÷ $165,400K
= 9.37
The fixed asset turnover ratio for Zurn Elkay Water Solutions Corporation has shown fluctuations over the periods analyzed. The ratio indicates how efficiently the company is utilizing its fixed assets to generate revenue. A higher fixed asset turnover ratio generally implies better efficiency in asset utilization.
Looking at the data provided, we observe that the fixed asset turnover ratio has ranged from as low as 4.75 to as high as 28.49 in recent periods. There seems to be volatility in the ratio, with significant changes observed from quarter to quarter. For example, the ratio increased from 5.26 in Dec 31, 2021, to 28.49 in Mar 31, 2022, signaling a substantial improvement in asset utilization during that period.
However, the ratio has also experienced decreases in certain quarters, such as the drop from 24.64 in Jun 30, 2022, to 5.26 in Dec 31, 2021. These fluctuations could be indicative of changes in the company's operational efficiency or shifts in its business model that impact the utilization of fixed assets.
It is important for the company to monitor and analyze the factors influencing these fluctuations to ensure sustainable and efficient utilization of its fixed assets. Further investigation into the underlying reasons for the changes in fixed asset turnover can provide valuable insights for management decision-making and strategic planning.
Peer comparison
Sep 30, 2024