Amedisys Inc (AMED)
Total asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 2,348,320 | 2,236,380 | 2,223,200 | 2,214,110 | 2,071,520 |
| Total assets | US$ in thousands | 2,138,710 | 2,060,170 | 1,976,240 | 1,856,970 | 1,567,200 |
| Total asset turnover | 1.10 | 1.09 | 1.12 | 1.19 | 1.32 |
December 31, 2024 calculation
Total asset turnover = Revenue ÷ Total assets
= $2,348,320K ÷ $2,138,710K
= 1.10
Total asset turnover measures the efficiency with which a company utilizes its assets to generate revenue. In the case of Amedisys Inc, the total asset turnover has been exhibiting a downward trend over the past five years. Starting at 1.32 in December 2020, it decreased to 1.19 in December 2021, further declining to 1.12 in December 2022, 1.09 in December 2023, and then slightly improved to 1.10 by December 2024.
This trend indicates that Amedisys Inc may be experiencing challenges in effectively utilizing its assets to generate sales. A decreasing total asset turnover may suggest inefficiencies in the company's operations, such as underutilization of assets or declining sales relative to the size of its asset base. Investors and stakeholders may need to further investigate the reasons behind this declining trend to assess the company's operational performance and profitability.
Peer comparison
Dec 31, 2024