Lumentum Holdings Inc (LITE)
Total asset turnover
| Jun 30, 2025 | Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 1,645,000 | 1,359,200 | 1,767,000 | 1,712,600 | 1,742,800 |
| Total assets | US$ in thousands | 4,218,700 | 3,931,900 | 4,632,100 | 4,162,200 | 3,551,600 |
| Total asset turnover | 0.39 | 0.35 | 0.38 | 0.41 | 0.49 |
June 30, 2025 calculation
Total asset turnover = Revenue ÷ Total assets
= $1,645,000K ÷ $4,218,700K
= 0.39
The analysis of Lumentum Holdings Inc.'s total asset turnover ratio over the period from June 30, 2021, to June 30, 2025, reveals a declining trend with some fluctuation. As of June 30, 2021, the ratio stood at 0.49, indicating that the company generated approximately $0.49 in revenue for every dollar of total assets employed. Over the subsequent years, this ratio gradually declined, reaching 0.41 by June 30, 2022, and continuing a downward trajectory to 0.38 by June 30, 2023. The ratio further decreased to 0.35 at the end of June 2024, reflecting a continued decrease in asset efficiency. However, there was a slight uptick to 0.39 in the year ending June 30, 2025, suggesting a modest improvement in asset utilization during this period.
This overall decline in total asset turnover indicates that the company has become less efficient in deploying its assets to generate revenue over the analyzed period. The reduction from 0.49 to 0.35, with a slight recovery afterward, may point to changes in operational efficiency, capital structure, or strategic focus. Potential factors influencing this trend could include increased asset base without proportional revenue growth, shifts in product mix, or industry-specific challenges affecting revenue-generating capacity relative to assets.
Peer comparison
Jun 30, 2025