Churchill Downs Incorporated (CHDN)
Total asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 2,193,300 | 1,809,800 | 1,597,200 | 1,054,000 | 1,329,700 |
| Total assets | US$ in thousands | 6,955,500 | 6,206,800 | 2,981,600 | 2,981,600 | 2,551,000 |
| Total asset turnover | 0.32 | 0.29 | 0.54 | 0.35 | 0.52 |
December 31, 2023 calculation
Total asset turnover = Revenue ÷ Total assets
= $2,193,300K ÷ $6,955,500K
= 0.32
Throughout the past five years, Churchill Downs, Inc. has experienced fluctuations in its total asset turnover ratio. The total asset turnover ratio measures the efficiency with which the company utilizes its assets to generate sales.
In 2023, the total asset turnover ratio stood at 0.35, indicating that for each dollar of total assets the company had, it generated $0.35 in sales. This figure represents an increase compared to the previous year, signifying improved efficiency in asset utilization.
However, looking back at 2022, the total asset turnover was 0.29, reflecting lower asset utilization efficiency. The ratio then significantly improved in 2021, reaching 0.54, which suggested that the company was able to generate more revenue from its assets compared to the previous year.
In 2020 and 2019, the total asset turnover ratios were 0.39 and 0.52, respectively, showing fluctuations in asset utilization efficiency during those years. Overall, the varying figures indicate that Churchill Downs, Inc. has experienced changes in its ability to generate sales using its total assets over the past five years.