Insperity Inc (NSP)

Total asset turnover

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Revenue (ttm)	US$ in thousands	6,458,730	6,369,930	6,261,170	6,112,150	5,924,610	5,729,730	5,502,310	5,256,290	4,965,620	4,730,930	4,529,360	4,337,107	4,278,987	4,299,447	4,334,627	4,385,160	4,309,370	4,201,036	4,083,718	3,963,225
Total assets	US$ in thousands	2,119,660	1,996,470	1,865,270	2,039,970	2,039,260	1,781,510	1,892,910	1,940,080	1,753,080	1,734,050	1,728,080	1,769,080	1,584,280	1,523,280	1,517,730	1,522,410	1,395,000	1,292,120	1,317,000	1,350,980
Total asset turnover		3.05	3.19	3.36	3.00	2.91	3.22	2.91	2.71	2.83	2.73	2.62	2.45	2.70	2.82	2.86	2.88	3.09	3.25	3.10	2.93

December 31, 2023 calculation

Total asset turnover = Revenue (ttm) ÷ Total assets
= $6,458,730K ÷ $2,119,660K
= 3.05

Insperity Inc's total asset turnover ratio has displayed some variability over the past eight quarters. The ratio ranged from a low of 2.71 in Q1 2022 to a high of 3.37 in Q2 2023. This ratio measures the efficiency with which the company utilizes its assets to generate revenue.

An increasing trend in total asset turnover, as seen from Q1 2023 to Q2 2023, indicates that the company is generating more revenue per dollar of assets deployed. This suggests that the company is managing its assets efficiently to drive sales. Conversely, a decreasing trend in total asset turnover, as shown from Q2 2022 to Q1 2023, may indicate the company is becoming less efficient in its asset utilization over time.

In comparison to the industry benchmarks, a total asset turnover ratio of around 3.0 is generally considered good. However, it is important to analyze other financial metrics alongside total asset turnover to gain a comprehensive understanding of Insperity Inc's overall financial performance and efficiency.