Hanesbrands Inc (HBI)
Total asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 3,507,440 | 5,636,520 | 6,233,650 | 6,801,240 | 6,664,350 |
| Total assets | US$ in thousands | 3,840,940 | 5,640,310 | 6,503,880 | 7,071,440 | 7,698,870 |
| Total asset turnover | 0.91 | 1.00 | 0.96 | 0.96 | 0.87 |
December 31, 2024 calculation
Total asset turnover = Revenue ÷ Total assets
= $3,507,440K ÷ $3,840,940K
= 0.91
Hanesbrands Inc's total asset turnover has shown fluctuations over the past five years. The ratio increased from 0.87 in December 31, 2020, to 1.00 in December 31, 2023, indicating that the company generated $1.00 in revenue for every $1.00 of assets held at the end of that year. This improvement suggests that the company has become more efficient in utilizing its assets to generate sales.
However, the total asset turnover ratio decreased slightly to 0.91 by December 31, 2024, compared to the previous year. This decline could signal a potential decrease in the company's efficiency in generating sales from its assets. It is essential for Hanesbrands Inc to closely monitor and manage its asset utilization to ensure optimal performance and profitability in the future.