Danaher Corporation (DHR)
Total asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 23,875,000 | 23,890,000 | 31,471,000 | 29,453,000 | 22,284,000 |
| Total assets | US$ in thousands | 77,542,000 | 84,488,000 | 84,350,000 | 83,184,000 | 76,161,000 |
| Total asset turnover | 0.31 | 0.28 | 0.37 | 0.35 | 0.29 |
December 31, 2024 calculation
Total asset turnover = Revenue ÷ Total assets
= $23,875,000K ÷ $77,542,000K
= 0.31
Total asset turnover is an important financial ratio that measures a company's ability to generate revenue from its assets. Looking at the data provided for Danaher Corporation, we see a trend in total asset turnover over the years.
In 2020, the total asset turnover was 0.29, indicating that for every dollar of assets the company had, it generated $0.29 of revenue. This ratio increased to 0.35 in 2021 and further to 0.37 in 2022, reflecting an improvement in the company's efficiency in utilizing its assets to generate revenue.
However, in 2023, the total asset turnover declined to 0.28, suggesting a decrease in the company's ability to generate revenue from its assets. This decline was somewhat mitigated in 2024, where the total asset turnover increased to 0.31, although it remained below the levels seen in 2021 and 2022.
Overall, the trend in total asset turnover for Danaher Corporation shows some fluctuations, indicating varying efficiency in utilizing its assets to generate revenue over the years. It would be important for the company to closely monitor and improve its asset utilization efficiency to ensure sustainable growth and profitability.
Peer comparison
Dec 31, 2024