Etsy Inc (ETSY)

Total asset turnover

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Revenue	US$ in thousands	2,808,330	2,748,380	2,566,110	2,329,110	1,725,620
Total assets	US$ in thousands	2,417,780	2,685,400	2,634,960	3,831,810	2,404,490
Total asset turnover		1.16	1.02	0.97	0.61	0.72

December 31, 2024 calculation

Total asset turnover = Revenue ÷ Total assets
= $2,808,330K ÷ $2,417,780K
= 1.16

Etsy Inc's total asset turnover has shown a varied trend over the past five years. The ratio decreased from 0.72 in December 2020 to 0.61 in December 2021, indicating a decline in the efficiency of utilizing its assets to generate revenue. However, there was a significant improvement in asset turnover in the following years, reaching 0.97 in December 2022, 1.02 in December 2023, and finally peaking at 1.16 in December 2024.

This upward trend suggests that Etsy has become more proficient in generating sales revenue relative to its total assets. A higher total asset turnover ratio indicates that the company is managing its assets more efficiently and effectively, which can lead to increased profitability and shareholder value. Overall, the improving trend in Etsy Inc's total asset turnover reflects positively on the company's operational performance and management of assets.