Baxter International Inc (BAX)
Total asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 14,847,000 | 15,164,000 | 12,731,000 | 23,192,000 | 22,616,000 |
| Total assets | US$ in thousands | 28,276,000 | 28,287,000 | 33,521,000 | 20,019,000 | 18,193,000 |
| Total asset turnover | 0.53 | 0.54 | 0.38 | 1.16 | 1.24 |
December 31, 2023 calculation
Total asset turnover = Revenue ÷ Total assets
= $14,847,000K ÷ $28,276,000K
= 0.53
Total asset turnover measures how efficiently a company utilizes its assets to generate revenue. Baxter International Inc.'s total asset turnover has fluctuated over the past five years. In 2023, the total asset turnover was 0.52, which indicates that the company generated $0.52 in revenue for every $1 of assets. This represents a slight decrease compared to the previous year's ratio of 0.53.
The total asset turnover ratio was relatively low in 2021, standing at 0.38, suggesting that the company's asset utilization efficiency was weaker during that period. However, there was an improvement in 2022 and 2023. The ratio was highest in 2019 at 0.62, indicating efficient utilization of assets to generate revenue.
Overall, Baxter International Inc. has seen fluctuations in its total asset turnover, which may indicate changes in the company's operational efficiency and asset management strategies over the years. Further analysis and comparison with industry peers would provide additional insights into the company's performance in this aspect.
Peer comparison
Dec 31, 2023