IDEX Corporation (IEX)
Total asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 3,273,900 | 3,181,900 | 2,764,800 | 2,351,600 | 2,494,600 |
| Total assets | US$ in thousands | 5,865,200 | 5,511,900 | 4,917,200 | 4,414,400 | 3,813,900 |
| Total asset turnover | 0.56 | 0.58 | 0.56 | 0.53 | 0.65 |
December 31, 2023 calculation
Total asset turnover = Revenue ÷ Total assets
= $3,273,900K ÷ $5,865,200K
= 0.56
Total asset turnover measures a company's efficiency in generating revenue from its total assets. Idex Corporation's total asset turnover has fluctuated over the past five years, ranging from 0.53 to 0.65. In 2023, the total asset turnover decreased to 0.56 from 0.58 in 2022. This indicates that the company generated $0.56 in revenue for every $1 of total assets in 2023.
A total asset turnover below 1.0 suggests that Idex Corporation may not be efficiently utilizing its assets to generate sales. The downward trend in total asset turnover from 2022 to 2023 may raise concerns about the company's asset management efficiency. Further analysis of the company's operations and asset utilization strategies may be warranted to improve its overall financial performance and efficiency.
Peer comparison
Dec 31, 2023