AGCO Corporation (AGCO)
Total asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 11,061,600 | 14,407,800 | 25,289,800 | 22,269,900 | 18,284,400 |
| Total assets | US$ in thousands | 11,190,600 | 11,421,200 | 10,103,700 | 9,182,100 | 8,504,200 |
| Total asset turnover | 0.99 | 1.26 | 2.50 | 2.43 | 2.15 |
December 31, 2024 calculation
Total asset turnover = Revenue ÷ Total assets
= $11,061,600K ÷ $11,190,600K
= 0.99
AGCO Corporation's total asset turnover has exhibited fluctuating trends over the past five years. The ratio increased from 2.15 in December 2020 to 2.43 in December 2021, indicating that the company generated $2.43 in revenue for every dollar of total assets in 2021. Subsequently, the total asset turnover further improved to 2.50 by December 2022, suggesting increased efficiency in asset utilization.
However, there was a significant decline in total asset turnover to 1.26 in December 2023, followed by a further decrease to 0.99 by December 2024. These declines indicate that AGCO Corporation's ability to generate revenue from its total assets declined, possibly due to various factors such as changes in sales levels, asset management inefficiencies, or shifts in the company's business operations.
Overall, AGCO Corporation's total asset turnover ratio has shown variability over the years, highlighting the importance of continuous monitoring of asset utilization efficiency to ensure optimal performance and profitability.
Peer comparison
Dec 31, 2024