Hims Hers Health Inc (HIMS)
Total asset turnover
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 1,241,994 | 1,067,137 | 959,401 | 872,000 | 792,584 | 710,721 | 616,372 | 526,916 | 444,412 | 373,749 | 320,878 | 271,878 | 228,645 | 195,796 | 171,008 | 148,757 | 132,060 | 90,736 | 54,832 | |
| Total assets | US$ in thousands | 602,261 | 480,500 | 448,106 | 441,186 | 413,865 | 389,884 | 376,306 | 366,341 | 382,827 | 379,965 | 382,039 | 420,585 | 420,069 | 347,699 | 345,900 | 118,697 | 205,814 | 206,201 | 206,287 | 204,765 |
| Total asset turnover | 2.06 | 2.22 | 2.14 | 1.98 | 1.92 | 1.82 | 1.64 | 1.44 | 1.16 | 0.98 | 0.84 | 0.65 | 0.54 | 0.56 | 0.49 | 1.25 | 0.64 | 0.44 | 0.27 |
September 30, 2024 calculation
Total asset turnover = Revenue (ttm) ÷ Total assets
= $1,241,994K ÷ $602,261K
= 2.06
Total asset turnover is a key financial ratio that indicates how efficiently a company is utilizing its assets to generate revenue. It is calculated by dividing the company's net sales by its average total assets. A higher total asset turnover ratio signifies that the company is effectively using its assets to generate sales.
Analyzing the total asset turnover of Hims Hers Health Inc over the past few quarters, we observe fluctuations in the ratio. The ratio increased from 1.25 in December 2020 to 2.22 in June 2024, indicating improved efficiency in utilizing assets to generate revenue. However, the ratio experienced some fluctuations in between, with a peak of 2.22 in June 2024 and a low of 0.27 in December 2019.
The trend in total asset turnover suggests that the company has been progressively enhancing its asset utilization efficiency over time, with occasional fluctuations. A consistent improvement in this ratio signifies better management of assets and operations to drive revenue growth. It is essential for investors and stakeholders to monitor this ratio to assess the company's operational efficiency and effectiveness in utilizing its assets.