Dorman Products Inc (DORM)
Total asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 1,881,730 | 1,718,170 | 1,343,090 | 1,095,250 | 991,329 |
| Total assets | US$ in thousands | 2,292,410 | 2,341,790 | 1,673,120 | 1,220,660 | 1,041,070 |
| Total asset turnover | 0.82 | 0.73 | 0.80 | 0.90 | 0.95 |
December 31, 2023 calculation
Total asset turnover = Revenue ÷ Total assets
= $1,881,730K ÷ $2,292,410K
= 0.82
Total asset turnover measures the efficiency with which a company utilizes its assets to generate sales. A higher ratio indicates that the company is generating more sales per dollar of assets. Dorman Products Inc's total asset turnover has exhibited some fluctuations over the past five years, ranging from 0.74 to 0.95.
The trend indicates that the company's ability to generate sales from its assets has shown some variability. The lowest total asset turnover ratio of 0.74 in Dec 31, 2022, suggests that the company may have faced challenges in effectively utilizing its assets to drive sales during that period.
In contrast, the highest ratio of 0.95 in Dec 28, 2019, reflects a strong performance, indicating that Dorman was efficient in generating revenue relative to its asset base. However, the recent decline to 0.84 in Dec 31, 2023, raises some concerns about the company's current asset utilization efficiency.
Overall, Dorman Products Inc's total asset turnover ratio fluctuates over the years, which may indicate changing business conditions or operational challenges. Further analysis of the company's asset management and sales strategies would be necessary to determine the underlying factors influencing these fluctuations.
Peer comparison
Dec 31, 2023