Louisiana-Pacific Corporation (LPX)
Total asset turnover
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 2,940,000 | 2,918,000 | 2,924,000 | 2,721,000 | 2,581,000 | 2,628,000 | 2,752,000 | 3,271,000 | 3,854,000 | 3,984,000 | 4,150,000 | 4,188,000 | 4,038,000 | 3,674,000 | 3,451,000 | 2,831,000 | 2,399,000 | 2,465,000 | 2,273,000 | 2,313,000 |
| Total assets | US$ in thousands | 2,569,000 | 2,576,000 | 2,529,000 | 2,487,000 | 2,437,000 | 2,380,000 | 2,302,000 | 2,259,000 | 2,350,000 | 2,383,000 | 2,547,000 | 2,670,000 | 2,194,000 | 2,400,000 | 2,367,000 | 2,343,000 | 2,086,000 | 1,973,000 | 1,807,000 | 2,132,000 |
| Total asset turnover | 1.14 | 1.13 | 1.16 | 1.09 | 1.06 | 1.10 | 1.20 | 1.45 | 1.64 | 1.67 | 1.63 | 1.57 | 1.84 | 1.53 | 1.46 | 1.21 | 1.15 | 1.25 | 1.26 | 1.08 |
December 31, 2024 calculation
Total asset turnover = Revenue (ttm) ÷ Total assets
= $2,940,000K ÷ $2,569,000K
= 1.14
Louisiana-Pacific Corporation's total asset turnover has shown fluctuating trends over the analyzed period from March 31, 2020, to December 31, 2024. The total asset turnover ratio measures the efficiency of the company in generating revenues from its assets. A higher ratio indicates that the company is utilizing its assets effectively to generate sales.
The total asset turnover ratio for Louisiana-Pacific Corporation started at 1.08 on March 31, 2020, and gradually increased to 1.84 by December 31, 2021. This significant increase suggests that the company was able to generate more sales revenue per dollar of assets during this period.
However, the ratio started to decline after December 31, 2021, reaching 1.06 by December 31, 2023. This downward trend indicates that there may have been some challenges or inefficiencies in asset utilization, resulting in lower sales generated from the assets.
Overall, it is important for Louisiana-Pacific Corporation to focus on effectively managing and utilizing its assets to ensure a sustainable and consistent total asset turnover ratio, which can positively impact the company's financial performance and profitability.
Peer comparison
Dec 31, 2024