ITT Inc (ITT)
Total asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 3,630,700 | 3,283,000 | 2,987,700 | 2,765,000 | 2,477,800 |
| Total assets | US$ in thousands | 4,710,700 | 3,932,600 | 3,780,300 | 3,565,400 | 4,277,600 |
| Total asset turnover | 0.77 | 0.83 | 0.79 | 0.78 | 0.58 |
December 31, 2024 calculation
Total asset turnover = Revenue ÷ Total assets
= $3,630,700K ÷ $4,710,700K
= 0.77
Based on the data provided for ITT Inc's total asset turnover ratio, we observe the following trend:
- In December 31, 2020, the total asset turnover ratio was 0.58, indicating that for each dollar invested in total assets, the company generated $0.58 in sales.
- The ratio improved steadily over the next four years, reaching 0.78 in December 31, 2021, 0.79 in December 31, 2022, 0.83 in December 31, 2023, and then slightly declined to 0.77 in December 31, 2024.
The increasing trend in the total asset turnover ratio suggests that ITT Inc managed to improve its efficiency in generating sales from its total assets over the years, reaching its peak in December 31, 2023. However, there was a slight decline in the ratio by the end of the period.
Overall, the company's ability to generate sales from its total assets improved throughout the period, which is a positive sign of operational efficiency. Further analysis of the company's operational performance and asset management practices could provide additional insights into the drivers behind these changes in the total asset turnover ratio.
Peer comparison
Dec 31, 2024