Cytokinetics Inc (CYTK)

Total asset turnover

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Revenue	US$ in thousands	18,474	7,530	94,588	70,428	55,828
Total assets	US$ in thousands	1,401,670	824,316	1,014,780	841,319	533,803
Total asset turnover		0.01	0.01	0.09	0.08	0.10

December 31, 2024 calculation

Total asset turnover = Revenue ÷ Total assets
= $18,474K ÷ $1,401,670K
= 0.01

The total asset turnover ratio measures a company's efficiency in generating sales revenue relative to its total assets. In the case of Cytokinetics Inc, the total asset turnover has shown a declining trend over the past five years.

As of December 31, 2020, the total asset turnover was 0.10, indicating that for every dollar of assets, the company generated $0.10 in sales. This ratio decreased to 0.08 by December 31, 2021, and then improved slightly to 0.09 by December 31, 2022.

However, there was a significant drop in the total asset turnover to 0.01 by December 31, 2023, and this low ratio was maintained by December 31, 2024. A total asset turnover ratio of 0.01 suggests that the company's assets are not being efficiently utilized to generate sales revenue.

Overall, the declining trend in the total asset turnover ratio for Cytokinetics Inc indicates a potential inefficiency in managing its assets to drive sales. Investors and stakeholders may want to further investigate the underlying reasons for this decline and assess the company's asset management strategies.