AutoZone Inc (AZO)

Total asset turnover

Aug 31, 2024 Aug 31, 2023 Aug 26, 2023 Aug 31, 2022 Aug 27, 2022
Revenue US$ in thousands 18,490,300 17,457,200 17,457,200 16,252,200 16,252,200
Total assets US$ in thousands 17,176,500 15,985,900 15,985,900 15,275,000 15,275,000
Total asset turnover 1.08 1.09 1.09 1.06 1.06

August 31, 2024 calculation

Total asset turnover = Revenue ÷ Total assets
= $18,490,300K ÷ $17,176,500K
= 1.08

AutoZone Inc's total asset turnover has shown a relatively stable trend over the past five years, ranging from 0.88 in 2020 to 1.09 in 2023. The total asset turnover ratio measures the efficiency at which the company generates sales revenue in relation to its total assets. A higher total asset turnover ratio indicates that the company is better at generating sales from its assets.

In this case, AutoZone Inc's total asset turnover has generally been above 1, indicating that the company is effectively utilizing its assets to generate sales. The slight fluctuations in the ratio over the years suggest that AutoZone Inc has been maintaining a consistent level of efficiency in utilizing its assets to drive revenue.

Overall, the trend in AutoZone Inc's total asset turnover suggests that the company is effectively managing its assets to drive sales growth, which is a positive indicator of its operational efficiency.


See also:

AutoZone Inc Total Asset Turnover