CarGurus (CARG)

Total asset turnover

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	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
Revenue (ttm)	US$ in thousands	894,384	888,969	877,030	898,075	914,242	977,863	1,184,898	1,456,390	1,655,035	1,707,633	1,504,094	1,210,613	951,373	763,584	688,141	565,130	551,451	558,051	561,041	611,335
Total assets	US$ in thousands	824,536	778,161	753,331	870,803	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
Total asset turnover		1.08	1.14	1.16	1.03	0.99	0.93	1.14	1.38	1.79	1.74	1.49	1.28	1.02	0.93	0.88	0.79	1.10	1.21	1.38	1.50

December 31, 2024 calculation

Total asset turnover = Revenue (ttm) ÷ Total assets
= $894,384K ÷ $824,536K
= 1.08

Total asset turnover is a financial ratio that measures a company's efficiency in generating sales from its total assets. A higher total asset turnover ratio indicates that the company is utilizing its assets effectively to generate revenue.

Based on the data provided, CarGurus' total asset turnover ratio has experienced fluctuations over the period from March 31, 2020, to December 31, 2024. The ratio started at 1.50 in March 2020, indicating that CarGurus generated $1.50 in sales for every $1 of assets. The ratio then declined to a low of 0.79 in March 2021 before showing some improvement.

Throughout the following years, the total asset turnover ratio fluctuated, reaching a peak of 1.79 in December 31, 2022. This suggests that CarGurus efficiently utilized its assets to generate revenue during that period. However, the ratio declined again in the subsequent quarters but remained above 1, indicating a relatively efficient utilization of assets.

Overall, CarGurus' total asset turnover ratio shows variability but generally demonstrates the company's ability to efficiently generate sales from its total assets. Investors and analysts may monitor this ratio to assess the company's operational efficiency and asset utilization over time.