Innoviva Inc (INVA)
Total asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 358,711 | 310,463 | 331,339 | 391,866 | 336,794 |
| Total assets | US$ in thousands | 1,301,060 | 1,243,510 | 1,231,500 | 926,395 | 999,570 |
| Total asset turnover | 0.28 | 0.25 | 0.27 | 0.42 | 0.34 |
December 31, 2024 calculation
Total asset turnover = Revenue ÷ Total assets
= $358,711K ÷ $1,301,060K
= 0.28
Total asset turnover measures the efficiency of a company in generating sales revenue from its assets. For Innoviva Inc, the total asset turnover has fluctuated over the years. In 2020, the ratio was 0.34, indicating that for every dollar of assets, the company generated $0.34 in sales. This ratio improved to 0.42 in 2021, suggesting better asset utilization to generate sales revenue.
However, there was a decline in total asset turnover in 2022 to 0.27, and a further decrease to 0.25 in 2023, which indicates a decrease in sales generated per dollar of assets. In 2024, the ratio slightly improved to 0.28 but remained relatively low compared to previous years.
The declining trend in total asset turnover may raise concerns about the company's operational efficiency and asset utilization. Innoviva Inc may need to review its asset management strategies to improve efficiency in generating sales revenue from its assets.
Peer comparison
Dec 31, 2024