Diamondback Energy Inc (FANG)
Total asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 8,412,000 | 9,643,000 | 6,797,000 | 2,813,000 | 3,964,000 |
| Total assets | US$ in thousands | 29,001,000 | 26,209,000 | 22,898,000 | 17,619,000 | 23,531,000 |
| Total asset turnover | 0.29 | 0.37 | 0.30 | 0.16 | 0.17 |
December 31, 2023 calculation
Total asset turnover = Revenue ÷ Total assets
= $8,412,000K ÷ $29,001,000K
= 0.29
Diamondback Energy Inc's total asset turnover has fluctuated over the past five years, ranging from 0.16 to 0.37. Total asset turnover measures how efficiently the company is using its assets to generate revenue. A higher total asset turnover ratio indicates better asset utilization.
In 2023, the total asset turnover ratio decreased to 0.29 from 0.37 in 2022, suggesting a decrease in the company's ability to generate revenue from its assets. Further analysis would be required to determine the specific reasons behind this decline.
Overall, Diamondback Energy Inc's total asset turnover has shown variability over the years, indicating fluctuations in asset utilization and revenue generation efficiency. It is important for the company to closely monitor and manage its asset turnover ratio to ensure optimal utilization of assets for revenue generation.
Peer comparison
Dec 31, 2023