DigitalOcean Holdings Inc (DOCN)

Total asset turnover

		Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021
Revenue (ttm)	US$ in thousands	712,480	692,884	675,008	650,061	614,129	576,322	532,986	492,299	462,227	428,561
Total assets	US$ in thousands	1,485,570	1,460,970	1,425,140	1,497,900	1,995,260	1,815,630	1,623,690	1,590,710	1,956,830	2,101,000	965,825	915,430	893,265
Total asset turnover		0.48	0.47	0.47	0.43	0.31	0.32	0.33	0.31	0.24	0.20

March 31, 2024 calculation

Total asset turnover = Revenue (ttm) ÷ Total assets
= $712,480K ÷ $1,485,570K
= 0.48

The total asset turnover ratio for DigitalOcean Holdings Inc has been gradually improving over the past few quarters. From a low of 0.20 in December 2021, the ratio increased to 0.48 by March 2024. This indicates that the company is generating more sales revenue for each dollar of assets it owns. The rising trend suggests that DigitalOcean is becoming more efficient in utilizing its assets to generate revenue. Overall, the company's increasing total asset turnover ratio reflects a positive trend in its operational efficiency and asset utilization.