The Cheesecake Factory (CAKE)
Total asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 3,581,700 | 3,439,500 | 3,303,160 | 2,927,540 | 1,982,420 |
| Total assets | US$ in thousands | 3,041,760 | 2,840,380 | 2,775,220 | 2,798,120 | 2,747,050 |
| Total asset turnover | 1.18 | 1.21 | 1.19 | 1.05 | 0.72 |
December 31, 2024 calculation
Total asset turnover = Revenue ÷ Total assets
= $3,581,700K ÷ $3,041,760K
= 1.18
The total asset turnover ratio for The Cheesecake Factory has shown a positive trend over the past five years. In December 31, 2020, the ratio was 0.72, indicating that the company generated $0.72 in revenue for every dollar of assets. However, there has been a significant improvement in this ratio over the subsequent years. By December 31, 2024, the total asset turnover had increased to 1.18, suggesting that the company was able to generate $1.18 in revenue for every dollar of assets. This signifies that The Cheesecake Factory has become more efficient in utilizing its assets to generate sales, which is a positive indicator of operational efficiency and profitability. The consistent increase in total asset turnover reflects effective management of assets to drive revenue growth, potentially leading to improved financial performance in the future.
Peer comparison
Dec 31, 2024