Caterpillar Inc (CAT)
Total asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 64,809,000 | 67,060,000 | 59,427,000 | 50,971,000 | 41,748,000 |
| Total assets | US$ in thousands | 87,764,000 | 87,476,000 | 81,943,000 | 82,793,000 | 78,324,000 |
| Total asset turnover | 0.74 | 0.77 | 0.73 | 0.62 | 0.53 |
December 31, 2024 calculation
Total asset turnover = Revenue ÷ Total assets
= $64,809,000K ÷ $87,764,000K
= 0.74
The total asset turnover ratio for Caterpillar Inc has shown an increasing trend over the years, starting at 0.53 in 2020 and reaching 0.74 in 2024. This indicates that the company is generating more revenue relative to its total assets invested, reflecting improved efficiency in asset utilization. The progressive increase in total asset turnover suggests that Caterpillar Inc is effectively managing its assets to generate sales. It could imply enhancements in operational effectiveness, better inventory management, or increased productivity. Overall, the rising total asset turnover ratio is a positive indicator of Caterpillar Inc's ability to generate sales from its asset base efficiently over the years.
Peer comparison
Dec 31, 2024