Entergy Corporation (ETR)
Total asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 11,879,700 | 12,147,400 | 13,764,200 | 11,742,900 | 10,113,600 |
| Total assets | US$ in thousands | 64,790,000 | 59,703,400 | 58,595,200 | 59,454,200 | 58,239,200 |
| Total asset turnover | 0.18 | 0.20 | 0.23 | 0.20 | 0.17 |
December 31, 2024 calculation
Total asset turnover = Revenue ÷ Total assets
= $11,879,700K ÷ $64,790,000K
= 0.18
Entergy Corporation's total asset turnover ratio has shown a fluctuating trend over the period from December 31, 2020, to December 31, 2024. The ratio increased from 0.17 in 2020 to 0.23 in 2022, indicating that the company generated $0.23 in revenue for every dollar of assets invested. This improvement suggests more efficient utilization of the company's assets to generate sales.
However, the total asset turnover ratio decreased in the subsequent years to 0.20 in 2023 and 0.18 in 2024, indicating a decline in efficiency in converting assets into revenue. This could be a result of various factors such as changes in industry dynamics, economic conditions, or company-specific strategies.
Overall, while Entergy Corporation experienced an improvement in asset turnover initially, it is essential for the company to monitor and address the factors influencing this ratio to ensure optimal utilization of its assets in generating revenue.
Peer comparison
Dec 31, 2024