Doximity Inc (DOCS)

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
Revenue (ttm)	US$ in thousands	475,422	468,331	448,309	436,882	419,052	401,739	384,353	361,518	343,548
Total assets	US$ in thousands	1,079,370	1,000,650	1,025,570	1,153,510	1,136,890	1,067,090	1,028,340	1,050,930	991,357	932,172	869,255	830,182
Total asset turnover		0.44	0.47	0.44	0.38	0.37	0.38	0.37	0.34	0.35

March 31, 2024 calculation

Total asset turnover = Revenue (ttm) ÷ Total assets
= $475,422K ÷ $1,079,370K
= 0.44

Total asset turnover measures the efficiency with which a company generates sales revenue relative to its total assets. It is calculated as the ratio of a company's net sales to its average total assets. Looking at the data for Doximity Inc over the past few quarters, we can see fluctuations in the total asset turnover ratio.

In Q1 2022, Doximity's total asset turnover ratio was 0.35, which indicates that the company generated $0.35 in sales for every dollar of total assets. The ratio increased to 0.37 in the subsequent quarter and then reached 0.38 in Q3 2022. However, in Q4 2022 and Q1 2023, the ratio declined to 0.38 and 0.37, respectively.

There was a slight improvement in the total asset turnover ratio in Q2 and Q3 2023, where it stood at 0.37 and 0.44, respectively. The ratio then peaked at 0.47 in Q4 2023, indicating that Doximity was making more efficient use of its assets to generate sales revenue. However, in Q1 2024, the ratio decreased to 0.44, suggesting a slight decrease in efficiency in generating sales revenue in that period.

Overall, Doximity's total asset turnover has shown some variability over the quarters, with fluctuations in the efficiency of generating sales revenue relative to its total assets. Further analysis and comparison with industry benchmarks may provide additional insights into the company's operational efficiency and asset utilization.