Old Dominion Freight Line Inc (ODFL)
Total asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 5,888,710 | 6,263,500 | 5,256,890 | 4,014,390 | 4,103,040 |
| Total assets | US$ in thousands | 5,512,390 | 4,838,610 | 4,821,540 | 4,369,410 | 3,995,570 |
| Total asset turnover | 1.07 | 1.29 | 1.09 | 0.92 | 1.03 |
December 31, 2023 calculation
Total asset turnover = Revenue ÷ Total assets
= $5,888,710K ÷ $5,512,390K
= 1.07
Old Dominion Freight Line, Inc.'s total asset turnover ratio has fluctuated over the past five years, indicating the efficiency with which the company generates sales from its total assets. The highest total asset turnover ratio of 1.29 was recorded in 2022, suggesting that the company was able to generate $1.29 in revenue for every dollar of total assets. In contrast, the lowest ratio of 0.92 in 2020 indicates a lower level of efficiency in asset utilization during that year.
The trend in total asset turnover indicates that the company has experienced variability in how effectively it has been able to utilize its assets to generate sales. While there was an improvement from 2020 to 2022, with a peak in efficiency, the ratio decreased to 1.06 in 2023. This suggests a slight decline in asset utilization efficiency compared to the previous year.
Overall, the total asset turnover ratios for Old Dominion Freight Line, Inc. demonstrate varying levels of asset efficiency over the five-year period, reflecting changes in the company's ability to generate revenue relative to its total assets. Further analysis and consideration of industry benchmarks would provide additional insight into the company's asset utilization performance.
Peer comparison
Dec 31, 2023