Applied Industrial Technologies (AIT)
Total asset turnover
| Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | Jun 30, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 4,477,670 | 4,387,870 | 3,784,480 | 3,203,600 | 3,212,740 |
| Total assets | US$ in thousands | 2,951,910 | 2,743,330 | 2,452,590 | 2,271,810 | 2,283,550 |
| Total asset turnover | 1.52 | 1.60 | 1.54 | 1.41 | 1.41 |
June 30, 2024 calculation
Total asset turnover = Revenue ÷ Total assets
= $4,477,670K ÷ $2,951,910K
= 1.52
The total asset turnover ratio for Applied Industrial Technologies has fluctuated over the past five years, ranging from 1.41 to 1.60. This ratio measures the company's ability to generate sales revenue from its total assets. A higher ratio indicates that the company is more efficient in utilizing its assets to generate revenue.
In the most recent year, ending June 30, 2024, the total asset turnover ratio decreased to 1.52 from the previous year's 1.60. This decline may suggest a slight decrease in the company's efficiency in generating sales from its assets compared to the prior year. However, it is still relatively healthy compared to the ratios in the preceding years.
Overall, while there has been some variability in the total asset turnover ratio for Applied Industrial Technologies, the company has generally maintained a reasonable level of efficiency in generating sales revenue from its total assets over the past five years. It is important for the company to continue monitoring and managing its asset utilization effectively to ensure optimal financial performance.