Paycom Soft (PAYC)

Total asset turnover

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Revenue	US$ in thousands	1,883,200	1,693,670	1,375,220	1,055,520	841,434
Total assets	US$ in thousands	5,859,900	4,197,540	3,902,510	3,215,140	2,607,910
Total asset turnover		0.32	0.40	0.35	0.33	0.32

December 31, 2024 calculation

Total asset turnover = Revenue ÷ Total assets
= $1,883,200K ÷ $5,859,900K
= 0.32

Based on the provided data, Paycom Soft's total asset turnover has shown varying trends over the years.

In December 31, 2020, the total asset turnover ratio was 0.32, indicating that for every dollar of total assets, the company generated $0.32 of revenue.

Over the subsequent years, there was a slight increase in efficiency in utilizing assets for revenue generation. By December 31, 2021, the total asset turnover ratio improved to 0.33, and further increased to 0.35 by December 31, 2022.

The most significant improvement was observed in December 31, 2023, where the total asset turnover ratio reached 0.40, suggesting that Paycom Soft was able to generate more revenue relative to its total assets.

However, by December 31, 2024, the total asset turnover ratio dipped back to 0.32, which may indicate a decrease in efficiency in utilizing assets for revenue generation compared to the previous year.

In conclusion, while there have been fluctuations in Paycom Soft's total asset turnover over the years, it is essential for the company to consistently monitor and improve this ratio to optimize the utilization of its assets in generating revenue.