Amentum Holdings Inc. (AMTM)
Total asset turnover
| Dec 31, 2024 | Sep 30, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 8,388,000 | 8,343,000 | 7,865,000 | 7,676,000 | 5,092,000 |
| Total assets | US$ in thousands | 11,974,000 | 11,974,000 | 6,413,000 | 4,220,000 | — |
| Total asset turnover | 0.70 | 0.70 | 1.23 | 1.82 | — |
December 31, 2024 calculation
Total asset turnover = Revenue ÷ Total assets
= $8,388,000K ÷ $11,974,000K
= 0.70
Amentum Holdings Inc.'s total asset turnover has fluctuated over the past few years. As of December 31, 2022, the company had a total asset turnover of 1.82, indicating that it generated $1.82 in sales for every $1 of assets it possessed. This suggests efficient utilization of assets to generate revenue.
However, by December 31, 2023, the total asset turnover decreased to 1.23, indicating a decline in the company's efficiency in generating sales from its assets. This could be an indication of changes in the company's operations, asset base, or market dynamics impacting its revenue generation.
The total asset turnover further declined to 0.70 both as of September 30, 2024, and December 31, 2024. This significant decrease suggests that the company may be facing challenges in effectively utilizing its assets to generate revenue, potentially indicating inefficiencies in its operations or a decrease in sales relative to its asset base.
It is important for Amentum Holdings Inc. to carefully assess the reasons behind these fluctuations in total asset turnover and implement strategies to improve asset utilization efficiency to enhance overall financial performance and competitiveness in the market.
Peer comparison
Dec 31, 2024