WW Grainger Inc (GWW)
Total asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 17,168,000 | 16,478,000 | 15,228,000 | 13,022,000 | 11,797,000 |
| Total assets | US$ in thousands | 8,829,000 | 8,147,000 | 7,588,000 | 6,592,000 | 6,295,000 |
| Total asset turnover | 1.94 | 2.02 | 2.01 | 1.98 | 1.87 |
December 31, 2024 calculation
Total asset turnover = Revenue ÷ Total assets
= $17,168,000K ÷ $8,829,000K
= 1.94
WW Grainger Inc's total asset turnover has shown a generally improving trend over the past five years. Starting at 1.87 in 2020, the ratio increased to 1.98 in 2021 and continued to rise steadily to reach 2.02 by the end of 2023, indicating the company is generating more revenue for each dollar of assets invested. However, there was a slight dip in 2024, with the total asset turnover decreasing to 1.94. Overall, an increasing total asset turnover suggests that WW Grainger Inc is becoming more efficient in utilizing its assets to generate sales, which can be a positive sign of operational effectiveness.