Quaker Chemical Corporation (KWR)
Total asset turnover
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 1,882,612 | 1,892,565 | 1,899,214 | 1,897,711 | 1,880,954 | 1,865,850 | 1,827,228 | 1,779,037 | 1,740,473 | 1,678,776 | 1,593,852 | 1,442,077 | 1,384,720 | 1,398,527 | 1,359,589 | 1,286,904 | 1,125,665 | 945,852 | 846,586 | 862,335 |
| Total assets | US$ in thousands | 2,714,210 | 2,732,510 | 2,790,240 | 2,858,460 | 2,821,620 | 2,831,500 | 2,970,760 | 2,996,720 | 2,955,760 | 2,941,830 | 2,944,820 | 2,912,950 | 2,891,830 | 2,753,190 | 2,871,530 | 2,920,550 | 2,850,320 | 2,724,500 | 724,530 | 708,523 |
| Total asset turnover | 0.69 | 0.69 | 0.68 | 0.66 | 0.67 | 0.66 | 0.62 | 0.59 | 0.59 | 0.57 | 0.54 | 0.50 | 0.48 | 0.51 | 0.47 | 0.44 | 0.39 | 0.35 | 1.17 | 1.22 |
December 31, 2023 calculation
Total asset turnover = Revenue (ttm) ÷ Total assets
= $1,882,612K ÷ $2,714,210K
= 0.69
Quaker Houghton's total asset turnover has shown a consistent upward trend over the past eight quarters, increasing from 0.60 in Q1 2022 to 0.72 in Q4 2023. This indicates that the company has been more efficient in generating sales revenue relative to its total assets.
A total asset turnover ratio of 0.72 in Q4 2023 means that for every dollar of assets the company holds, it generates $0.72 in sales revenue. This implies that the company is effectively utilizing its assets to generate sales.
The stability and gradual increase in the total asset turnover ratio suggest that Quaker Houghton has been improving its operational efficiency and asset management strategies. It indicates that the company has been able to streamline its operations, reduce excess asset holding, and improve overall productivity.
Overall, the increasing trend in the total asset turnover ratio reflects positively on Quaker Houghton's ability to efficiently utilize its assets to drive sales growth and maximize profitability.
Peer comparison
Dec 31, 2023