MillerKnoll Inc (MLKN)
Total asset turnover
| Jun 3, 2023 | May 28, 2022 | May 29, 2021 | May 30, 2020 | Jun 1, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 8,100,200 | 7,841,800 | 4,916,300 | 4,960,700 | 5,122,300 |
| Total assets | US$ in thousands | 4,274,800 | 4,514,000 | 2,076,800 | 2,053,900 | 1,569,300 |
| Total asset turnover | 1.89 | 1.74 | 2.37 | 2.42 | 3.26 |
June 3, 2023 calculation
Total asset turnover = Revenue ÷ Total assets
= $8,100,200K ÷ $4,274,800K
= 1.89
The total asset turnover ratio measures a company's efficiency in using its assets to generate sales. A higher ratio indicates that the company is more efficient in generating sales using its assets.
Analyzing the total asset turnover of MillerKnoll Inc over the past five years, we find that there has been a fluctuation in the ratio:
1. In the most recent fiscal year ending on June 3, 2023, the total asset turnover ratio stands at 0.96, indicating that for every dollar of assets, the company generated $0.96 of sales. This suggests a decrease in efficiency compared to the previous year.
2. In the fiscal year ending on May 28, 2022, the ratio was 0.87, indicating that the company generated $0.87 of sales for every dollar of assets. This reflects a decrease in efficiency compared to the year before.
3. On May 29, 2021, the total asset turnover was 1.20, meaning that for every dollar of assets, the company generated $1.20 of sales. This marked a decrease in efficiency compared to the previous year.
4. In the fiscal year ending on May 30, 2020, the total asset turnover ratio was 1.21, indicating that the company generated $1.21 of sales for every dollar of assets. This showed a decline in efficiency compared to the year before.
5. On June 1, 2019, the ratio was 1.64, indicating that for every dollar of assets, the company generated $1.64 of sales. This represented a significant decrease in efficiency compared to the previous year.
The fluctuation in the total asset turnover suggests that MillerKnoll Inc's efficiency in utilizing its assets to generate sales has varied over the years. Further analysis should be conducted to understand the factors contributing to these fluctuations and to identify strategies for improving asset utilization and enhancing overall efficiency.