Charles River Laboratories (CRL)

Total asset turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Revenue	US$ in thousands	4,082,940	4,098,090	3,457,220	2,939,570	2,582,040
Total assets	US$ in thousands	8,195,000	7,602,770	7,024,290	5,490,830	4,692,790
Total asset turnover		0.50	0.54	0.49	0.54	0.55

December 31, 2023 calculation

Total asset turnover = Revenue ÷ Total assets
= $4,082,940K ÷ $8,195,000K
= 0.50

The total asset turnover for Charles River Laboratories has shown fluctuations over the past five years. In 2023, the total asset turnover was 0.50, which indicates that the company generated $0.50 in revenue for every $1 of total assets held during the year. This ratio decreased compared to the previous year, suggesting a decrease in the efficiency of using assets to generate revenue.

In 2022, the total asset turnover was 0.54, showing a slightly better performance compared to 2023. However, the ratio decreased in 2021 to 0.49, indicating a decrease in revenue generated per dollar of total assets. The total asset turnover improved in 2020 and 2019, with ratios of 0.54 and 0.55 respectively, suggesting better asset utilization efficiency in those years.

Overall, the total asset turnover ratio for Charles River Laboratories has been somewhat inconsistent, with fluctuations indicating varying levels of efficiency in utilizing assets to generate revenue over the past five years. It would be important for the company to analyze the underlying factors contributing to these fluctuations and work towards improving its asset utilization efficiency for sustained future growth and profitability.