Otis Worldwide Corp (OTIS)
Total asset turnover
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 14,217,000 | 14,121,000 | 14,057,000 | 14,139,000 | 14,059,000 | 13,883,000 | 13,708,000 | 13,478,000 | 13,542,000 | 13,664,000 | 13,942,000 | 14,163,000 | 14,162,000 | 14,130,000 | 13,772,000 | 13,086,000 | 12,676,000 |
| Total assets | US$ in thousands | 11,316,000 | 10,261,000 | 9,858,000 | 9,791,000 | 10,117,000 | 10,390,000 | 10,135,000 | 9,845,000 | 9,819,000 | 9,342,000 | 9,913,000 | 11,795,000 | 12,279,000 | 10,472,000 | 10,857,000 | 10,505,000 | 10,710,000 |
| Total asset turnover | 1.26 | 1.38 | 1.43 | 1.44 | 1.39 | 1.34 | 1.35 | 1.37 | 1.38 | 1.46 | 1.41 | 1.20 | 1.15 | 1.35 | 1.27 | 1.25 | 1.18 |
December 31, 2024 calculation
Total asset turnover = Revenue (ttm) ÷ Total assets
= $14,217,000K ÷ $11,316,000K
= 1.26
Total asset turnover measures how efficiently a company is using its assets to generate revenue. Otis Worldwide Corp's total asset turnover has displayed some fluctuations over the periods provided. The ratio increased from 1.18 on December 31, 2020, to a peak of 1.46 on September 30, 2022. This indicates that Otis was generating $1.46 in revenue for every dollar of assets held at that time.
However, there was a slight decline in the ratio in the subsequent periods, reaching 1.26 on December 31, 2024. Despite the fluctuations, the company has generally maintained a total asset turnover above 1, implying that it is effectively utilizing its assets to generate revenue.
It is important for investors and stakeholders to monitor total asset turnover over time to assess the company's operational efficiency and ability to generate sales from its asset base.
Peer comparison
Dec 31, 2024