Emerson Electric Company (EMR)
Total asset turnover
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 17,435,000 | 15,115,000 | 19,622,000 | 18,267,000 | 16,785,000 |
| Total assets | US$ in thousands | 44,246,000 | 42,746,000 | 35,672,000 | 24,715,000 | 22,882,000 |
| Total asset turnover | 0.39 | 0.35 | 0.55 | 0.74 | 0.73 |
September 30, 2024 calculation
Total asset turnover = Revenue ÷ Total assets
= $17,435,000K ÷ $44,246,000K
= 0.39
Emerson Electric Company's total asset turnover has fluctuated over the past five years, with a downward trend observed from 2020 to 2023 before a slight increase in 2024. The ratio measures the efficiency of the company in generating sales revenue from its total assets. A total asset turnover of 0.39 in 2024 indicates that the company generated $0.39 in sales for every dollar of total assets during that period. This implies a decrease in asset utilization efficiency compared to the previous year, suggesting a potential decline in operational effectiveness or changes in the composition of assets impacting revenue generation. Further analysis of the company's operational and financial strategies may be warranted to understand the reasons behind these fluctuations and to identify areas for potential improvement in asset management and revenue generation.
Peer comparison
Sep 30, 2024