National HealthCare Corporation (NHC)
Total asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 1,141,540 | 1,085,740 | 1,074,300 | 1,028,220 | 996,383 |
| Total assets | US$ in thousands | 1,310,800 | 1,275,450 | 1,403,400 | 1,362,130 | 1,286,650 |
| Total asset turnover | 0.87 | 0.85 | 0.77 | 0.75 | 0.77 |
December 31, 2023 calculation
Total asset turnover = Revenue ÷ Total assets
= $1,141,540K ÷ $1,310,800K
= 0.87
The total asset turnover of National Healthcare Corp. has shown a fluctuating trend over the past five years, ranging from 0.72 to 0.87. This ratio indicates the efficiency of the company in generating sales revenue from its total assets. A higher total asset turnover ratio typically suggests that the company is effectively utilizing its assets to generate revenue.
In this case, the total asset turnover has generally improved from 0.72 in 2020 to 0.87 in 2023, which could indicate better asset utilization and operational efficiency. However, it is important to note that the ratio dipped to 0.72 again in 2021 before increasing in the following years.
Overall, while the total asset turnover of National Healthcare Corp. has shown some variability, the recent increase to 0.87 in 2023 may indicate an improvement in the company's ability to generate sales from its assets, potentially reflecting more efficient operations or increased revenue generation relative to its asset base.
Peer comparison
Dec 31, 2023