CoreCivic Inc (CXW)
Total asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 1,896,640 | 1,845,330 | 1,862,620 | 1,905,480 | 1,980,690 |
| Total assets | US$ in thousands | 3,105,400 | 3,244,770 | 3,498,940 | 3,709,320 | 3,791,630 |
| Total asset turnover | 0.61 | 0.57 | 0.53 | 0.51 | 0.52 |
December 31, 2023 calculation
Total asset turnover = Revenue ÷ Total assets
= $1,896,640K ÷ $3,105,400K
= 0.61
CoreCivic Inc's total asset turnover has shown a generally increasing trend over the past five years, from 0.52 in 2019 to 0.61 in 2023. This ratio indicates that, on average, the company generates $0.61 in revenue for every $1 of assets it holds.
A higher total asset turnover ratio is generally seen as favorable as it suggests that the company is efficiently utilizing its assets to generate revenue. CoreCivic's increasing trend in this ratio reflects improved efficiency in utilizing its assets to generate sales over the years.
It is essential to continue monitoring this ratio to ensure that the company maintains or improves its efficiency in asset utilization, which can ultimately lead to stronger financial performance and profitability.
Peer comparison
Dec 31, 2023