Avanos Medical Inc (AVNS)
Total asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 687,800 | 673,300 | 820,000 | 744,600 | 714,800 |
| Total assets | US$ in thousands | 1,154,200 | 1,692,400 | 1,786,900 | 1,594,600 | 1,672,800 |
| Total asset turnover | 0.60 | 0.40 | 0.46 | 0.47 | 0.43 |
December 31, 2024 calculation
Total asset turnover = Revenue ÷ Total assets
= $687,800K ÷ $1,154,200K
= 0.60
Total asset turnover measures a company's efficiency in generating revenue from its total assets. In the case of Avanos Medical Inc, the total asset turnover has fluctuated over the past five years.
In 2020, the total asset turnover was at 0.43, indicating that the company generated $0.43 in revenue for every dollar of total assets. This suggests a lower level of efficiency in asset utilization.
The ratio improved slightly in 2021 to 0.47, indicating a better utilization of assets to generate revenue. However, in 2022 and 2023, the total asset turnover decreased to 0.46 and 0.40, respectively, which may indicate declining efficiency in asset utilization during those years.
Notably, in 2024, there was a significant improvement in the total asset turnover to 0.60, suggesting that the company was more effective in generating revenue from its total assets compared to the previous years.
Overall, Avanos Medical Inc's total asset turnover has been somewhat volatile, with fluctuations indicating varying levels of efficiency in utilizing assets to generate revenue over the five-year period.
Peer comparison
Dec 31, 2024