Cadence Design Systems Inc (CDNS)

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	4,641,260	4,353,900	4,161,490	4,077,389	4,089,979	3,921,236	3,800,700	3,681,642	3,561,718	3,434,877	3,283,218	3,153,982	2,988,244	2,975,117	2,890,829	2,800,962	2,682,891	2,522,537	2,435,533	2,377,534
Total assets	US$ in thousands	8,974,480	9,167,030	7,225,740	5,722,130	5,669,490	5,431,380	5,155,120	5,171,620	5,137,070	4,968,090	4,361,270	4,395,070	4,386,300	4,213,880	4,122,550	3,998,960	3,950,780	4,140,150	3,999,500	3,767,970
Total asset turnover		0.52	0.47	0.58	0.71	0.72	0.72	0.74	0.71	0.69	0.69	0.75	0.72	0.68	0.71	0.70	0.70	0.68	0.61	0.61	0.63

December 31, 2024 calculation

Total asset turnover = Revenue (ttm) ÷ Total assets
= $4,641,260K ÷ $8,974,480K
= 0.52

The total asset turnover ratio of Cadence Design Systems Inc has been relatively stable over the period from March 31, 2020, to December 31, 2024. The ratio started at 0.63 in March 2020, decreased slightly to 0.61 by September 2020, and then increased to 0.70 by March 2021. It continued to improve reaching a peak of 0.75 by June 30, 2022. However, the ratio started to decline thereafter, dropping to 0.47 by September 30, 2024, and then recovering slightly to 0.52 by December 31, 2024.

Overall, the total asset turnover ratio indicates how efficiently Cadence Design Systems Inc is generating revenue from its assets. The company's ability to utilize its total assets to generate sales revenue has shown fluctuations over the years, with some periods of improvement and others of decline. Further analysis and comparison with industry benchmarks would provide additional insights into the company's operational efficiency and utilization of its assets.