Estee Lauder Companies Inc (EL)

Total asset turnover

		Jun 30, 2024	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	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019
Revenue (ttm)	US$ in thousands	15,304,000	15,004,000	14,853,000	15,247,000	15,705,000	15,722,000	16,211,000	17,114,000	17,557,000	17,920,000	17,531,000	16,850,000	16,025,000	14,572,000	14,072,000	14,451,000	14,801,000	15,961,000	16,428,000	15,202,000
Total assets	US$ in thousands	21,677,000	22,700,000	23,283,000	22,650,000	23,415,000	22,715,000	20,731,000	19,989,000	20,910,000	21,359,000	22,078,000	21,580,000	21,971,000	19,900,000	19,595,000	17,903,000	17,781,000	18,363,000	17,937,000	15,431,000
Total asset turnover		0.71	0.66	0.64	0.67	0.67	0.69	0.78	0.86	0.84	0.84	0.79	0.78	0.73	0.73	0.72	0.81	0.83	0.87	0.92	0.99

June 30, 2024 calculation

Total asset turnover = Revenue (ttm) ÷ Total assets
= $15,304,000K ÷ $21,677,000K
= 0.71

Estee Lauder Companies Inc's total asset turnover has fluctuated over the past several quarters, ranging from 0.64 to 0.92. The total asset turnover ratio indicates how efficiently the company is generating sales from its assets. A higher ratio suggests better asset utilization.

In the most recent quarter, the total asset turnover was 0.71, indicating that the company generated $0.71 in sales for every $1 of assets. This ratio has shown some variability but has generally been above 0.70, indicating relatively efficient asset utilization.

The company's total asset turnover has trended downwards from 0.99 in the fourth quarter of 2019 to 0.71 in the second quarter of 2024. This downward trend may indicate a decrease in sales relative to assets, which could be a concern if not addressed or explained by changes in the business operations or strategy.

Overall, a consistent and stable total asset turnover ratio is desirable for Estee Lauder Companies Inc, as it signifies efficient asset utilization and effective revenue generation.