Nabors Industries Ltd (NBR)
Total asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 2,877,660 | 2,849,710 | 2,370,550 | 2,472,160 | 2,597,540 |
| Total assets | US$ in thousands | 4,504,300 | 5,277,960 | 4,729,850 | 5,525,360 | 5,503,430 |
| Total asset turnover | 0.64 | 0.54 | 0.50 | 0.45 | 0.47 |
December 31, 2024 calculation
Total asset turnover = Revenue ÷ Total assets
= $2,877,660K ÷ $4,504,300K
= 0.64
Nabors Industries Ltd's total asset turnover has shown a fluctuating trend over the past five years. In 2020, the total asset turnover was 0.47, indicating that the company generated 0.47 units of revenue for every unit of total assets. This ratio decreased slightly to 0.45 in 2021, possibly suggesting a less efficient utilization of assets to generate revenue.
However, there was an improvement in the total asset turnover in the subsequent years. In 2022, the ratio increased to 0.50, indicating that the company improved its efficiency in generating revenue from its total assets. The trend continued in 2023 with a further increase to 0.54, which indicates a more efficient use of assets to generate sales.
The most significant improvement was observed in 2024 when the total asset turnover ratio increased sharply to 0.64. This substantial increase suggests that Nabors Industries Ltd significantly improved its asset utilization efficiency, generating a higher level of revenue relative to its total assets.
Overall, the trend in total asset turnover for Nabors Industries Ltd indicates fluctuations and improvements over the five-year period, with a notable increase in asset efficiency in the latest year. This improvement in asset turnover may indicate enhanced operational efficiency and effectiveness in generating revenue from the company's assets.
Peer comparison
Dec 31, 2024