First Solar Inc (FSLR)

Total asset turnover

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Revenue	US$ in thousands	4,206,290	3,318,600	2,619,320	2,923,380	2,711,330
Total assets	US$ in thousands	12,124,400	10,365,100	8,251,230	7,413,750	7,108,930
Total asset turnover		0.35	0.32	0.32	0.39	0.38

December 31, 2024 calculation

Total asset turnover = Revenue ÷ Total assets
= $4,206,290K ÷ $12,124,400K
= 0.35

The total asset turnover ratio for First Solar Inc has shown some fluctuations over the past five years. It increased marginally from 0.38 in December 2020 to 0.39 in December 2021, indicating a slightly more efficient use of assets to generate revenue during that period. However, the ratio then decreased to 0.32 in both December 2022 and December 2023, suggesting a decline in the company's ability to generate sales relative to its total assets.

In December 2024, the total asset turnover ratio slightly improved to 0.35, but it still remained lower compared to the initial increase observed in 2021. The declining trend in total asset turnover may indicate that First Solar Inc has been facing challenges in effectively utilizing its assets to generate revenue.

Overall, the fluctuations in the total asset turnover ratio suggest that First Solar Inc should focus on improving its operational efficiency and asset management to enhance its revenue generation capabilities in the future.