Monster Beverage Corp (MNST)

Total asset turnover

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Revenue	US$ in thousands	7,492,710	7,140,030	6,311,050	5,541,350	4,598,640
Total assets	US$ in thousands	7,719,090	9,686,520	8,293,100	7,804,780	6,202,720
Total asset turnover		0.97	0.74	0.76	0.71	0.74

December 31, 2024 calculation

Total asset turnover = Revenue ÷ Total assets
= $7,492,710K ÷ $7,719,090K
= 0.97

Total asset turnover measures how efficiently a company utilizes its assets to generate revenue. For Monster Beverage Corp, the trend in total asset turnover from 2020 to 2024 shows some fluctuations. In 2020, the total asset turnover was 0.74, indicating that the company generated $0.74 in sales for every dollar of assets. This ratio slightly decreased to 0.71 in 2021, suggesting a possible decline in asset efficiency.

However, the company improved its asset utilization in 2022 with a total asset turnover of 0.76, which means that it generated $0.76 in revenue for each dollar of assets. In 2023, the ratio reverted to 0.74, showing a slight decrease in efficiency. Notably, there was a significant increase in total asset turnover to 0.97 in 2024, signaling that Monster Beverage Corp significantly enhanced its asset efficiency and effectively utilized its assets to generate revenue during that period.

Overall, fluctuations in total asset turnover indicate changes in the company's ability to utilize its assets efficiently to drive sales. It is essential for investors and stakeholders to closely monitor this ratio to assess Monster Beverage Corp's operational performance and asset management strategies over time.