DTE Energy Company (DTE)
Total asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 407,000 | 442,000 | 19,228,000 | 14,964,000 | 12,177,000 |
| Total assets | US$ in thousands | 48,846,000 | 44,755,000 | 42,683,000 | 39,719,000 | 45,496,000 |
| Total asset turnover | 0.01 | 0.01 | 0.45 | 0.38 | 0.27 |
December 31, 2024 calculation
Total asset turnover = Revenue ÷ Total assets
= $407,000K ÷ $48,846,000K
= 0.01
DTE Energy Company's total asset turnover has exhibited varying trends over the years based on the provided data. The ratio, which measures the efficiency of a company in generating revenues from its assets, increased from 0.27 on December 31, 2020, to 0.45 on December 31, 2022, indicating an improvement in asset utilization. However, there was a significant decline in total asset turnover to 0.01 on December 31, 2023, and this level remained constant through December 31, 2024.
A total asset turnover ratio of 0.01 suggests that the company is generating very low revenues relative to its total assets during the latter years, which could potentially signal inefficiencies in utilizing its asset base to drive revenue growth. It may be important for stakeholders to investigate the factors leading to such a low ratio in 2023 and 2024, as it could have implications for the company's overall financial performance and operational effectiveness.
Peer comparison
Dec 31, 2024