BorgWarner Inc (BWA)
Total asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 14,086,000 | 14,198,000 | 12,635,000 | 14,838,000 | 10,165,000 |
| Total assets | US$ in thousands | 13,993,000 | 14,453,000 | 16,994,000 | 16,575,000 | 16,029,000 |
| Total asset turnover | 1.01 | 0.98 | 0.74 | 0.90 | 0.63 |
December 31, 2024 calculation
Total asset turnover = Revenue ÷ Total assets
= $14,086,000K ÷ $13,993,000K
= 1.01
The total asset turnover of BorgWarner Inc has shown fluctuations over the past five years. In December 31, 2020, the total asset turnover was 0.63, indicating that the company generated $0.63 of revenue for every dollar of assets it had. Subsequently, there was an improvement in efficiency as the ratio increased to 0.90 in December 31, 2021. This suggests that the company was able to generate more revenue for each dollar of assets invested.
However, in December 31, 2022, the total asset turnover decreased to 0.74, indicating a slight decline in efficiency in utilizing its assets to generate revenue. The ratio then improved significantly in December 31, 2023, reaching 0.98, showing a strong performance in efficiently generating revenue from its assets.
Moreover, in December 31, 2024, the total asset turnover further increased to 1.01, showcasing the company's ability to generate more revenue relative to its assets. Overall, the trend suggests that BorgWarner Inc has been able to improve its efficiency in utilizing assets to generate revenue over the years, with a notable increase in total asset turnover in recent years.
Peer comparison
Dec 31, 2024