KBR Inc (KBR)
Total asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 6,834,000 | 6,496,000 | 7,249,000 | 5,767,000 | 5,639,000 |
| Total assets | US$ in thousands | 5,565,000 | 5,566,000 | 6,204,000 | 5,705,000 | 5,360,000 |
| Total asset turnover | 1.23 | 1.17 | 1.17 | 1.01 | 1.05 |
December 31, 2023 calculation
Total asset turnover = Revenue ÷ Total assets
= $6,834,000K ÷ $5,565,000K
= 1.23
Total asset turnover is a measure of how efficiently a company utilizes its assets to generate revenue. A higher total asset turnover ratio indicates that the company is generating more sales for each dollar of assets it owns.
In the case of KBR Inc, the total asset turnover ratio has shown a fluctuating trend over the past five years. In 2023, the total asset turnover ratio is 1.23, which is an improvement compared to the previous year. This indicates that KBR Inc generated $1.23 in sales for every dollar of assets in 2023.
The increase in total asset turnover from 2022 to 2023 suggests that KBR Inc has become more efficient in utilizing its assets to generate revenue. This could be a result of better management of assets, improved operational efficiency, or increased sales volume.
Overall, a rising total asset turnover ratio for KBR Inc is a positive indicator of the company's asset utilization efficiency and could potentially lead to improved financial performance in the future.
Peer comparison
Dec 31, 2023