Quest Diagnostics Incorporated (DGX)
Total asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 9,872,000 | 9,252,000 | 9,883,000 | 10,788,000 | 9,437,000 |
| Total assets | US$ in thousands | 16,153,000 | 14,022,000 | 12,837,000 | 13,611,000 | 14,026,000 |
| Total asset turnover | 0.61 | 0.66 | 0.77 | 0.79 | 0.67 |
December 31, 2024 calculation
Total asset turnover = Revenue ÷ Total assets
= $9,872,000K ÷ $16,153,000K
= 0.61
Quest Diagnostics Incorporated's total asset turnover ratio has shown some fluctuation over the past five years. In December 2020, the total asset turnover ratio was 0.67, indicating that for every dollar invested in total assets, the company generated $0.67 in revenue. This ratio increased to 0.79 by December 2021, suggesting improved efficiency in generating revenue from its assets.
However, in the subsequent years, the total asset turnover ratio declined slightly to 0.77 in December 2022 and further to 0.66 in December 2023. This decrease may imply a lower level of efficiency in utilizing its assets to generate revenue during those periods.
By December 2024, the total asset turnover ratio decreased again to 0.61, indicating that the company may have faced challenges in optimizing its asset utilization to generate revenue efficiently.
In general, the trend in Quest Diagnostics Incorporated's total asset turnover ratio over the past five years highlights fluctuations in operational efficiency in generating revenue from its total assets. It would be beneficial for the company to focus on strategies to improve asset utilization and operational efficiency to enhance its financial performance.
Peer comparison
Dec 31, 2024