CarGurus (CARG)

Total asset turnover

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Revenue (ttm)	US$ in thousands	917,072	980,534	1,187,569	1,459,061	1,657,093	1,707,547	1,504,008	1,210,527	951,422	763,580	688,137	565,126	551,498	558,153	561,143	611,437	589,749	557,686	526,266	491,560
Total assets	US$ in thousands	918,927	1,048,720	1,040,320	1,051,580	927,102	982,855	1,009,710	945,805	931,574	819,917	784,205	719,393	502,298	460,551	407,436	406,438	393,623	369,383	346,161	331,927
Total asset turnover		1.00	0.93	1.14	1.39	1.79	1.74	1.49	1.28	1.02	0.93	0.88	0.79	1.10	1.21	1.38	1.50	1.50	1.51	1.52	1.48

December 31, 2023 calculation

Total asset turnover = Revenue (ttm) ÷ Total assets
= $917,072K ÷ $918,927K
= 1.00

The total asset turnover ratio of CarGurus Inc has exhibited fluctuations over the past eight quarters. The ratio measures the company's ability to generate revenue from its total assets. A higher ratio indicates that the company is more efficient in utilizing its assets to generate sales.

In Q4 2023, the total asset turnover ratio was 0.99, which decreased compared to the previous quarter. This suggests that the company generated slightly less revenue for each dollar of assets it possessed in Q4.

In the previous quarters, the total asset turnover ratio showed a mixed pattern. In Q3 and Q2 2023, the ratio was 0.93 and 1.14 respectively, indicating a decrease and then an increase in asset efficiency. The ratio peaked at 1.38 in Q1 2023, signaling that the company was highly effective in generating revenue from its assets during that period.

Comparing the recent performance to the previous year, there has been a notable decline in the total asset turnover ratio. In Q4 2022, the ratio was 1.79, significantly higher than the current quarters. This suggests that CarGurus Inc may have experienced challenges in efficiently utilizing its assets to generate revenue in the most recent quarters.

Overall, the total asset turnover ratio of CarGurus Inc has shown variability in recent quarters, indicating fluctuations in the company's ability to efficiently generate sales from its total assets. Further analysis and monitoring of this ratio may be necessary to assess the company's asset management strategies and operational efficiency.