Patrick Industries Inc (PATK)
Total asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 3,466,390 | 4,885,580 | 4,070,100 | 2,470,640 | 2,330,060 |
| Total assets | US$ in thousands | 2,562,450 | 2,782,470 | 2,650,730 | 1,753,440 | 1,470,990 |
| Total asset turnover | 1.35 | 1.76 | 1.54 | 1.41 | 1.58 |
December 31, 2023 calculation
Total asset turnover = Revenue ÷ Total assets
= $3,466,390K ÷ $2,562,450K
= 1.35
Total asset turnover measures how efficiently a company generates revenue from its assets. Patrick Industries, Inc. has shown fluctuations in its total asset turnover over the past five years.
In 2023, the total asset turnover ratio declined to 1.35, indicating that the company generated $1.35 in revenue for every $1 worth of assets. This decrease could suggest potential inefficiencies in asset utilization or a decrease in sales relative to the asset base.
The highest total asset turnover of 1.75 was recorded in 2022, indicating improved efficiency in generating revenue from assets. This could signal effective asset management or a boost in sales during that period.
In 2021 and 2019, Patrick Industries, Inc. had total asset turnover ratios of 1.54 and 1.59, respectively, showing moderate efficiency in asset utilization and revenue generation.
The total asset turnover ratio was at its lowest in 2020 at 1.42, potentially indicating challenges in optimizing asset utilization or lower sales relative to the asset base during that year.
Overall, the trend in Patrick Industries, Inc.'s total asset turnover suggests some variability in asset efficiency and revenue generation over the past five years, with potential room for improvement in certain periods. Further analysis of the company's operations and industry benchmarks may provide deeper insights into the factors influencing these fluctuations.
Peer comparison
Dec 31, 2023