Alphabet Inc Class C (GOOG)
Total asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 305,559,000 | 281,279,000 | 257,637,000 | 182,527,000 | 161,857,000 |
| Total assets | US$ in thousands | 402,392,000 | 365,264,000 | 359,268,000 | 319,616,000 | 275,909,000 |
| Total asset turnover | 0.76 | 0.77 | 0.72 | 0.57 | 0.59 |
December 31, 2023 calculation
Total asset turnover = Revenue ÷ Total assets
= $305,559,000K ÷ $402,392,000K
= 0.76
Based on the data provided, Alphabet Inc's total asset turnover ratio has shown a fluctuating trend over the past five years. The total asset turnover ratio, which measures the efficiency of the company in generating sales from its assets, indicates how effectively Alphabet Inc is utilizing its assets to generate revenue.
The total asset turnover ratio decreased from 0.59 in 2019 to 0.57 in 2020, suggesting a potential decline in revenue generated from its assets in that period. However, the ratio increased to 0.72 in 2021, indicating a more efficient use of assets to generate sales, before slightly declining to 0.77 in 2022. The most recent data shows a decrease to 0.76 in 2023.
This trend signifies variability in the company's ability to generate sales from its total assets over the years. Further analysis of the company's operational and financial strategy is recommended to gain a deeper understanding of the factors driving these fluctuations in the total asset turnover ratio.
Peer comparison
Dec 31, 2023