Aptiv PLC (APTV)

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	20,051,000	19,772,000	19,272,000	18,129,000	17,489,000	16,983,000	16,023,000	15,773,000	15,618,000	15,696,000	15,710,000	13,863,000	13,066,000	12,450,000	12,341,000	14,008,000	14,357,000	14,397,000	14,323,000	14,380,000
Total assets	US$ in thousands	24,427,000	23,711,000	22,098,000	21,716,000	21,884,000	19,971,000	19,908,000	20,404,000	18,007,000	17,651,000	17,780,000	17,476,000	17,522,000	16,444,000	15,280,000	16,167,000	13,459,000	12,939,000	13,108,000	13,019,000
Total asset turnover		0.82	0.83	0.87	0.83	0.80	0.85	0.80	0.77	0.87	0.89	0.88	0.79	0.75	0.76	0.81	0.87	1.07	1.11	1.09	1.10

December 31, 2023 calculation

Total asset turnover = Revenue (ttm) ÷ Total assets
= $20,051,000K ÷ $24,427,000K
= 0.82

Total asset turnover measures the efficiency of a company in generating revenue from its total assets. In the case of Aptiv PLC, the ratio has fluctuated over the past eight quarters, ranging from 0.77 to 0.87.

Aptiv's total asset turnover peaked at 0.87 in Q2 2023 and hit its lowest point at 0.77 in Q1 2022. Generally, a higher total asset turnover indicates that the company is utilizing its assets more efficiently to generate sales revenue. Conversely, a lower ratio may suggest inefficiency in asset utilization.

The company's performance in Q2 2023 was relatively strong compared to previous quarters, indicating improved efficiency in converting assets into revenue. However, fluctuations in total asset turnover over the period suggest that Aptiv may need to focus on consistently optimizing its asset management strategies to improve overall operational efficiency and profitability.