FMC Corporation (FMC)
Total asset turnover
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 4,475,000 | 4,961,900 | 5,367,100 | 5,804,900 | 5,818,300 | 5,592,300 | 5,402,800 | 5,191,300 | 5,034,800 | 4,780,000 | 4,671,900 | 4,586,400 | 4,642,100 | 4,687,200 | 4,616,900 | 4,667,700 | 4,609,800 | 4,954,400 | 4,863,700 | 4,812,000 |
| Total assets | US$ in thousands | 11,926,200 | 10,956,400 | 11,951,700 | 11,732,100 | 11,171,300 | 10,764,700 | 11,044,200 | 10,904,800 | 10,673,100 | 10,410,200 | 10,942,100 | 10,423,300 | 10,186,400 | 9,772,200 | 9,993,700 | 10,189,200 | 9,872,700 | 9,803,800 | 9,824,500 | 9,946,000 |
| Total asset turnover | 0.38 | 0.45 | 0.45 | 0.49 | 0.52 | 0.52 | 0.49 | 0.48 | 0.47 | 0.46 | 0.43 | 0.44 | 0.46 | 0.48 | 0.46 | 0.46 | 0.47 | 0.51 | 0.50 | 0.48 |
December 31, 2023 calculation
Total asset turnover = Revenue (ttm) ÷ Total assets
= $4,475,000K ÷ $11,926,200K
= 0.38
The total asset turnover of FMC Corp. has exhibited a declining trend over the past year. The ratio decreased from 0.52 in Q4 2022 to 0.38 in Q4 2023. This suggests that the company generated $0.38 in revenue for every dollar of assets held in Q4 2023.
Although there was a slight improvement in Q3 and Q2 of 2023, with a total asset turnover of 0.45 in both quarters, the ratio remains lower compared to the values in the same quarters of 2022.
The declining total asset turnover may indicate potential inefficiencies in the company's asset utilization, as lower values suggest that the firm is generating less revenue relative to its asset base. Management should closely monitor and assess the effectiveness of their asset management strategies to improve operational efficiency and profitability in the future.
Peer comparison
Dec 31, 2023