capacity utilization rate


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Capacity utilization rate

The percentage of the economy's total plant and equipment that is currently in production. Usually, a decrease in this percentage signals an economic slowdown, while an increase signals economic expansion.

Capacity Utilization Rate

The extent to which a company uses its facilities at capacity, expressed as a percentage. That is, the capacity utilization rate states how much a company produces as a percentage of what it can produce. For example, if a factory produces 1,000 widgets per day but could produce 2,000 for the same cost, it has a capacity utilization rate of 50%. The capacity utilization rate is most useful for companies producing goods rather than services because goods are simply easier to quantify.

capacity utilization rate

the ratio of designed CAPACITY to used capacity.
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References in periodicals archive ?
The Central Bank Tendencies of the Manufacturing Industry Survey calculates the capacity utilization rate -- the percentage of a company's production capacity that is actually used over a particular period of time -- based on the provisional results of 2,227 manufacturers.
When compared with May 2010 figures, the capacity utilization rate dropped by 1.
On an industry basis, the capacity utilization rate fell 0.
The total domestic casting industry is operating at a capacity utilization rate of 82%.
t - i]'s are that industry's current and lagged capacity utilization rate.
According to the forward-looking indicator compiled by Eurostat, Belgium's capacity utilization rate hit 82.
Edison executives estimated that robust orders will considerably ramp up the company's capacity utilization rate for the second quarter.
ANKARA, Apr 26, 2011 (TUR) -- Turkey's capacity utilization rate in manufacturing industry rose 2.
For the period from January up to and including October 2015, air berlin's capacity utilization rate increased by 0.
Taipei, April 12, 2012 (CENS) -- With the government planning to hike electricity rates and capacity utilization rate at Taiwan's LED companies approaching 100%, Everlight Electronics Co.
ANKARA, Mar 25, 2011 (TUR) -- Turkey's capacity utilization rate in manufacturing industry rose 5.