Hub Group Inc (HUBG)
Total asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 3,948,950 | 4,197,040 | 5,358,280 | 4,244,580 | 3,485,460 |
| Total assets | US$ in thousands | 2,868,340 | 2,936,050 | 2,810,080 | 2,437,290 | 2,105,400 |
| Total asset turnover | 1.38 | 1.43 | 1.91 | 1.74 | 1.66 |
December 31, 2024 calculation
Total asset turnover = Revenue ÷ Total assets
= $3,948,950K ÷ $2,868,340K
= 1.38
Hub Group Inc's total asset turnover has shown fluctuations over the past five years, starting at 1.66 in December 2020 and reaching its peak at 1.91 in December 2022. This indicates that the company generated $1.66 in revenue for every dollar of assets in 2020, and this ratio improved to $1.91 in revenue for every dollar of assets by 2022. However, the ratio declined to 1.43 in December 2023 and further dropped to 1.38 in December 2024.
A total asset turnover ratio below 1 could suggest inefficiency in asset utilization, while a ratio above 1 indicates that the company is effectively generating revenue from its assets. Hub Group Inc's decreasing trend from 2022 to 2024 may raise concerns about its ability to efficiently deploy assets to generate revenue. Further analysis of the company's operational efficiency and asset management practices may be required to understand the reasoning behind this declining trend and to identify potential areas for improvement.
Peer comparison
Dec 31, 2024