California Resources Corp (CRC)
Total asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 3,198,000 | 2,801,000 | 2,707,000 | 1,889,000 | 2,634,000 |
| Total assets | US$ in thousands | 7,135,000 | 3,998,000 | 3,967,000 | 3,846,000 | 6,958,000 |
| Total asset turnover | 0.45 | 0.70 | 0.68 | 0.49 | 0.38 |
December 31, 2024 calculation
Total asset turnover = Revenue ÷ Total assets
= $3,198,000K ÷ $7,135,000K
= 0.45
Total asset turnover is a financial ratio that measures a company's ability to generate revenue from its investments in assets. In the case of California Resources Corp, the total asset turnover has shown variations over the years.
In 2019, the total asset turnover ratio was 0.38, indicating that for every dollar invested in assets, the company generated $0.38 in sales. This suggests that the company may have been less efficient in utilizing its assets to generate revenue.
By 2021, the total asset turnover ratio improved to 0.49, showing a higher level of efficiency in generating revenue from its assets. This trend continued to improve in 2022 and 2023, reaching 0.68 and 0.70, respectively. These higher ratios indicate that the company was able to increase its revenue generation relative to its asset base.
However, in 2024, the total asset turnover ratio dropped to 0.45, showing a decrease in efficiency in converting assets into revenue compared to the previous year. It is important for California Resources Corp to closely monitor this ratio and identify the factors that may have contributed to this decline.
Overall, the trend in total asset turnover for California Resources Corp shows fluctuations, with periods of improvement followed by a slight decrease in efficiency. Monitoring this ratio can help the company assess its asset utilization and make strategic decisions to optimize its operations and improve financial performance.
Peer comparison
Dec 31, 2024