Arista Networks (ANET)
Total asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 5,860,170 | 4,381,310 | 2,948,040 | 2,321,810 | 2,415,010 |
| Total assets | US$ in thousands | 9,946,810 | 6,775,410 | 5,734,430 | 4,738,920 | 4,185,290 |
| Total asset turnover | 0.59 | 0.65 | 0.51 | 0.49 | 0.58 |
December 31, 2023 calculation
Total asset turnover = Revenue ÷ Total assets
= $5,860,170K ÷ $9,946,810K
= 0.59
The total asset turnover ratio for Arista Networks Inc has fluctuated over the past five years. In 2023, the company's total asset turnover was 0.59, indicating that the company generated $0.59 in revenue for every $1 of total assets. This represents a slight decrease from the previous year's ratio of 0.65, suggesting a decrease in efficiency in generating revenue from its assets.
Comparing with 2021 and 2020, where the total asset turnover ratios were 0.51 and 0.49 respectively, we see an improvement in 2023. However, it is worth noting that the ratio in 2023 is still lower than the ratio in 2019, which was 0.58.
Overall, the trend in Arista Networks Inc's total asset turnover ratio indicates some variability in the company's ability to efficiently utilize its assets to generate revenue. Investors should continue to monitor this ratio over time to assess the company's operational performance and efficiency in utilizing its assets.
Peer comparison
Dec 31, 2023