Chemed Corp (CHE)
Total asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 2,264,420 | 2,134,960 | 2,139,260 | 2,079,580 | 1,938,560 |
| Total assets | US$ in thousands | 1,668,100 | 1,442,010 | 1,342,720 | 1,434,910 | 1,268,320 |
| Total asset turnover | 1.36 | 1.48 | 1.59 | 1.45 | 1.53 |
December 31, 2023 calculation
Total asset turnover = Revenue ÷ Total assets
= $2,264,420K ÷ $1,668,100K
= 1.36
Chemed Corp.'s total asset turnover has exhibited some variability over the past five years, ranging from 1.36 to 1.59. A higher total asset turnover indicates that the company is generating more revenue per dollar of assets. The downward trend from 2021 to 2023 could suggest a decrease in the company's efficiency in utilizing its assets to generate sales. However, the turnover ratio is still above 1 in each year, indicating that Chemed Corp. is effectively using its assets to drive revenue. Further analysis would be needed to determine the reasons behind the fluctuations in the total asset turnover ratio and assess the company's overall asset management efficiency.
Peer comparison
Dec 31, 2023