Ingersoll Rand Inc (IR)

Total asset turnover

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Revenue US$ in thousands 7,235,000 6,876,100 5,916,300 5,152,400 3,973,200
Total assets US$ in thousands 18,009,800 15,563,500 14,765,900 15,154,500 16,058,600
Total asset turnover 0.40 0.44 0.40 0.34 0.25

December 31, 2024 calculation

Total asset turnover = Revenue ÷ Total assets
= $7,235,000K ÷ $18,009,800K
= 0.40

Ingersoll Rand Inc's total asset turnover has shown an upward trend over the past five years, increasing from 0.25 in December 31, 2020, to 0.40 in December 31, 2024. This indicates that the company has become more efficient in generating sales revenue relative to its total assets. A higher total asset turnover ratio signifies that the company is utilizing its assets more effectively to generate revenue. However, it is important to note that the ratio dipped slightly in 2023 before rebounding in 2024. Overall, the increasing trend in total asset turnover is a positive indicator of the company's operational efficiency and asset utilization.