Avery Dennison Corp (AVY)
Total asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 8,755,700 | 8,364,300 | 9,039,300 | 8,408,300 | 6,971,500 |
| Total assets | US$ in thousands | 8,405,100 | 8,209,800 | 7,950,500 | 7,971,600 | 6,098,900 |
| Total asset turnover | 1.04 | 1.02 | 1.14 | 1.05 | 1.14 |
December 31, 2024 calculation
Total asset turnover = Revenue ÷ Total assets
= $8,755,700K ÷ $8,405,100K
= 1.04
Avery Dennison Corp's total asset turnover ratio has fluctuated over the past five years. In December 31, 2020, the ratio was 1.14, indicating that the company generated $1.14 in revenue for every dollar of assets. However, by December 31, 2021, the total asset turnover decreased to 1.05, suggesting a decline in efficiency in utilizing its assets to generate revenue.
Subsequently, there was a slight improvement as the ratio increased to 1.14 by December 31, 2022, before dropping again to 1.02 by December 31, 2023. This decrease may indicate that the company's sales were not keeping pace with its asset base during that period.
By December 31, 2024, the total asset turnover ratio improved slightly to 1.04, although it still remained below the initial level in 2020. Overall, the trend in the total asset turnover ratio for Avery Dennison Corp shows some variability, suggesting fluctuations in how effectively the company is utilizing its assets to generate revenue over the years.
Peer comparison
Dec 31, 2024