HP Inc (HPQ)
Total asset turnover
| Oct 31, 2023 | Oct 31, 2022 | Oct 31, 2021 | Oct 31, 2020 | Oct 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 53,718,000 | 62,910,000 | 63,460,000 | 56,639,000 | 58,756,000 |
| Total assets | US$ in thousands | 37,004,000 | 38,494,000 | 38,610,000 | 34,681,000 | 33,467,000 |
| Total asset turnover | 1.45 | 1.63 | 1.64 | 1.63 | 1.76 |
October 31, 2023 calculation
Total asset turnover = Revenue ÷ Total assets
= $53,718,000K ÷ $37,004,000K
= 1.45
The total asset turnover of HP Inc has exhibited a declining trend over the past five years, decreasing from 1.76 in 2019 to 1.45 in 2023. This ratio indicates that the company generated $1.45 in revenue for every $1 of assets in 2023, down from $1.76 in 2019. The decreasing trend suggests a potential inefficiency in utilizing its assets to generate sales. Further analysis of the company's operational and financial strategies may be necessary to understand the factors contributing to this decline and to identify opportunities for improvement in asset utilization.
Peer comparison
Oct 31, 2023
Company name
Symbol
Total asset turnover
HP Inc
HPQ
1.45
Hewlett Packard Enterprise Co
HPE
0.51
International Business Machines
IBM
0.46