American Airlines Group (AAL)
Total asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 54,154,000 | 50,346,000 | 46,971,000 | 28,078,000 | 16,086,000 |
| Total assets | US$ in thousands | 61,783,000 | 63,058,000 | 64,716,000 | 66,467,000 | 62,008,000 |
| Total asset turnover | 0.88 | 0.80 | 0.73 | 0.42 | 0.26 |
December 31, 2024 calculation
Total asset turnover = Revenue ÷ Total assets
= $54,154,000K ÷ $61,783,000K
= 0.88
American Airlines Group's total asset turnover has shown significant improvement over the years, reflecting the company's ability to generate more revenue from its assets.
In 2020, the total asset turnover was 0.26, indicating that for every dollar of assets the company had, it generated $0.26 in revenue. However, this ratio increased to 0.42 in 2021, showing a notable improvement in efficiency in utilizing its assets to generate revenue.
By 2022, American Airlines Group's total asset turnover further increased to 0.73, indicating a substantial enhancement in asset utilization efficiency. This trend continued into 2023 and 2024, with total asset turnovers of 0.80 and 0.88, respectively, highlighting the company's continued focus on optimizing asset utilization to drive revenue growth.
Overall, the increasing trend in total asset turnover signifies American Airlines Group's improved efficiency in generating revenue from its assets, which is a positive indicator of the company's operational performance and management effectiveness.
Peer comparison
Dec 31, 2024