Choice Hotels International Inc (CHH)

Total asset turnover

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Revenue (ttm)	US$ in thousands	1,544,165	1,547,751	1,536,460	1,477,014	1,401,949	1,324,605	1,233,708	1,144,078	1,069,298	978,053	865,455	738,844	774,072	848,763	948,724	1,114,675	1,114,820	1,091,715	1,072,473	1,050,230
Total assets	US$ in thousands	2,394,800	2,232,240	2,150,320	2,106,220	2,102,180	2,188,980	2,076,840	1,972,030	1,931,820	1,865,930	1,728,790	1,584,140	1,587,330	1,570,150	1,686,040	1,703,950	1,386,670	1,374,260	1,214,280	1,173,820
Total asset turnover		0.64	0.69	0.71	0.70	0.67	0.61	0.59	0.58	0.55	0.52	0.50	0.47	0.49	0.54	0.56	0.65	0.80	0.79	0.88	0.89

December 31, 2023 calculation

Total asset turnover = Revenue (ttm) ÷ Total assets
= $1,544,165K ÷ $2,394,800K
= 0.64

Choice Hotels International Inc's total asset turnover ratio has shown a fluctuating trend over the past several quarters, ranging from a low of 0.47 to a high of 0.89. The ratio indicates how efficiently the company is generating revenues from its total assets. Generally, a higher total asset turnover ratio is preferred as it signifies that the company is utilizing its assets effectively to generate sales.

In the most recent quarter, the total asset turnover ratio was 0.64, indicating that for every dollar of assets held by Choice Hotels, the company generated $0.64 in revenue. This suggests a moderate level of efficiency in utilizing its assets to generate sales. It is important to monitor the trend of this ratio over time to assess the company's ability to optimize its asset utilization for revenue generation.