HP Inc (HPQ)
Total asset turnover
| Oct 31, 2024 | Oct 31, 2023 | Oct 31, 2022 | Oct 31, 2021 | Oct 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 53,559,000 | 53,718,000 | 62,910,000 | 63,460,000 | 56,639,000 |
| Total assets | US$ in thousands | 39,909,000 | 37,004,000 | 38,494,000 | 38,610,000 | 34,681,000 |
| Total asset turnover | 1.34 | 1.45 | 1.63 | 1.64 | 1.63 |
October 31, 2024 calculation
Total asset turnover = Revenue ÷ Total assets
= $53,559,000K ÷ $39,909,000K
= 1.34
HP Inc's total asset turnover has shown a declining trend over the past five years, decreasing from 1.63 in 2020 to 1.34 in 2024. This indicates that the company generated $1.34 in revenue for every $1 of assets held in 2024. A lower total asset turnover can suggest inefficiencies in asset utilization or declining sales relative to the size of the asset base. It may be worthwhile for HP Inc to evaluate its asset management strategies to improve efficiency and optimize the utilization of its assets to enhance overall profitability.
Peer comparison
Oct 31, 2024
Company name
Symbol
Total asset turnover
HP Inc
HPQ
1.34
Hewlett Packard Enterprise Co
HPE
0.42
International Business Machines
IBM
0.46