Five Below Inc (FIVE)

Total asset turnover

		Jan 31, 2025	Oct 31, 2024	Jul 31, 2024	Apr 30, 2024	Feb 3, 2024	Jan 31, 2024	Oct 31, 2023	Oct 28, 2023	Jul 31, 2023	Jul 29, 2023	Apr 30, 2023	Apr 29, 2023	Jan 31, 2023	Jan 28, 2023	Oct 31, 2022	Oct 29, 2022	Jul 31, 2022	Jul 30, 2022	Apr 30, 2022	Jan 31, 2022
Revenue (ttm)	US$ in thousands	3,876,522	3,823,382	4,317,412	4,223,748	4,148,290	3,569,531	2,990,772	2,980,614	2,970,456	3,334,225	3,697,994	3,616,781	3,535,568	3,081,745	2,627,922	2,622,484	2,973,782	3,301,187	3,239,905	3,207,954
Total assets	US$ in thousands	4,339,570	4,185,320	4,013,140	3,947,300	3,872,040	3,872,040	3,657,440	3,657,440	3,549,410	3,549,410	3,380,510	3,380,510	3,324,910	3,324,910	3,163,720	3,163,720	3,086,230	3,086,230	2,960,780	2,880,460
Total asset turnover		0.89	0.91	1.08	1.07	1.07	0.92	0.82	0.81	0.84	0.94	1.09	1.07	1.06	0.93	0.83	0.83	0.96	1.07	1.09	1.11

January 31, 2025 calculation

Total asset turnover = Revenue (ttm) ÷ Total assets
= $3,876,522K ÷ $4,339,570K
= 0.89

Total asset turnover is a financial ratio that measures how efficiently a company utilizes its assets to generate sales. In the case of Five Below Inc, the total asset turnover ratio has fluctuated over the past few years.

As of January 31, 2022, the total asset turnover was 1.11, indicating that the company generated $1.11 in sales for every $1 of assets. This ratio decreased slightly to 0.89 as of January 31, 2025.

The trend of decreasing total asset turnover from 2022 to 2025 suggests that Five Below Inc may be becoming less efficient in generating sales relative to its asset base. A lower total asset turnover ratio could indicate that the company is not effectively using its assets to drive revenue growth, which may warrant further investigation into operational efficiency and asset management strategies.

Overall, the analysis of total asset turnover for Five Below Inc highlights the importance of efficiently utilizing assets to maximize sales and profitability.