Posted inAll sectors / Finance & Control / Financial

Fixed Asset Turnover

Definition of this KPI:
Fixed Asset Turnover is a financial metric that measures a companies efficiency in utilizing its fixed assets (property, plant, equipment) to generate revenue. It evaluates how effectively a companies long-term assets contribute to its overall business operations and sales.


  • This KPI can be calculated as: Total revenue / Average fixed assets
  • The KPI will be measured as: ratio (number)
  • How to interpret the KPI: higher is better
  • The strategic objective to measure with this KPI: Financial stability
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