AGCO Corporation (AGCO)
Total asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 14,407,800 | 25,289,800 | 22,269,900 | 18,284,400 | 18,062,900 |
| Total assets | US$ in thousands | 11,421,200 | 10,103,700 | 9,182,100 | 8,504,200 | 7,759,700 |
| Total asset turnover | 1.26 | 2.50 | 2.43 | 2.15 | 2.33 |
December 31, 2023 calculation
Total asset turnover = Revenue ÷ Total assets
= $14,407,800K ÷ $11,421,200K
= 1.26
The total asset turnover ratio for AGCO Corp. has been relatively stable over the past five years, ranging from 1.08 to 1.26. This ratio indicates how efficiently the company is utilizing its total assets to generate sales. A higher total asset turnover ratio suggests that the company is generating more sales revenue per dollar of assets employed.
AGCO Corp.'s total asset turnover ratio improved from 2019 to 2020, indicating better asset utilization efficiency during that period. The ratio dipped slightly in 2021 but recovered and increased in 2023, reaching its highest level in the past five years. This improvement suggests that AGCO Corp. has been able to generate more sales relative to its total asset base.
Overall, the trend in AGCO Corp.'s total asset turnover ratio suggests that the company has been effectively managing and utilizing its assets to drive sales growth and maximize operational efficiency over the past five years.
Peer comparison
Dec 31, 2023