International Flavors & Fragrances Inc (IFF)
Total asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 11,002,000 | 12,118,000 | 11,368,000 | 4,948,650 | 4,999,500 |
| Total assets | US$ in thousands | 30,978,000 | 35,522,000 | 39,658,000 | 13,555,000 | 13,287,400 |
| Total asset turnover | 0.36 | 0.34 | 0.29 | 0.37 | 0.38 |
December 31, 2023 calculation
Total asset turnover = Revenue ÷ Total assets
= $11,002,000K ÷ $30,978,000K
= 0.36
The total asset turnover ratio of International Flavors & Fragrances Inc. has varied over the past five years. In 2021, the ratio was at its lowest at 0.29, indicating that the company generated $0.29 in revenue for every $1 of total assets. This suggests that the company may have been less efficient in utilizing its assets to generate sales during that year.
In 2020 and 2019, the total asset turnover ratios were 0.38 and 0.39, respectively, showing a slightly higher efficiency in asset utilization compared to 2021. This indicates that the company generated more revenue per dollar of total assets during those years.
The ratio decreased to 0.35 in 2022 and further to 0.37 in 2023, reflecting a decline in the company's efficiency in using its assets to generate sales. This trend suggests that International Flavors & Fragrances Inc. may have experienced challenges in optimizing its asset utilization for revenue generation in the recent years.
Overall, it is important for the company to closely monitor and improve its total asset turnover ratio to ensure optimal efficiency in utilizing its assets for revenue generation.
Peer comparison
Dec 31, 2023