Air Lease Corporation (AL)
Total asset turnover
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 2,684,978 | 2,570,020 | 2,471,990 | 2,356,782 | 2,317,301 | 2,312,867 | 2,276,042 | 2,210,223 | 2,088,389 | 1,980,315 | 1,949,407 | 1,978,879 | 2,015,439 | 2,074,893 | 2,112,194 | 2,062,240 | 2,016,904 | 1,918,329 | 1,838,125 | 1,764,544 |
| Total assets | US$ in thousands | 30,452,300 | 29,672,200 | 29,757,800 | 29,363,100 | 28,396,700 | 28,224,000 | 27,646,500 | 26,874,800 | 26,968,700 | 27,014,600 | 25,755,500 | 25,189,400 | 25,215,200 | 23,604,800 | 22,993,700 | 22,682,300 | 21,709,200 | 21,609,700 | 20,484,300 | 19,178,900 |
| Total asset turnover | 0.09 | 0.09 | 0.08 | 0.08 | 0.08 | 0.08 | 0.08 | 0.08 | 0.08 | 0.07 | 0.08 | 0.08 | 0.08 | 0.09 | 0.09 | 0.09 | 0.09 | 0.09 | 0.09 | 0.09 |
December 31, 2023 calculation
Total asset turnover = Revenue (ttm) ÷ Total assets
= $2,684,978K ÷ $30,452,300K
= 0.09
The total asset turnover ratio for Air Lease Corporation has remained relatively stable over the past few quarters, ranging from 0.07 to 0.09. This ratio indicates that the company generates between $0.07 and $0.09 in revenue for every dollar of assets it holds.
A total asset turnover ratio of less than 1 typically suggests that a company is not efficiently utilizing its assets to generate sales. In this case, the ratios being consistently below 1 indicate that Air Lease Corporation may have relatively high asset levels compared to its revenue generation.
It is important for management to closely monitor this ratio and explore opportunities to improve asset utilization to enhance overall operational efficiency and profitability. Additional analysis of factors influencing the low total asset turnover, such as asset management practices or industry-specific challenges, could provide insights for potential improvements in the company's performance.
Peer comparison
Dec 31, 2023