Paycom Soft (PAYC)

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	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020
Revenue (ttm)	US$ in thousands	1,883,127	1,823,922	1,778,291	1,741,918	1,693,674	1,629,687	1,557,551	1,473,336	1,375,218	1,289,596	1,211,623	1,136,845	1,055,524	991,485	931,823	871,264	841,434	813,896	792,370	780,096
Total assets	US$ in thousands	5,859,900	3,492,530	4,312,740	4,733,260	4,197,540	3,856,100	3,951,340	4,241,620	3,902,510	3,314,570	4,891,700	5,444,570	3,215,140	4,218,040	3,233,090	3,406,770	2,607,910	2,485,200	1,921,500	2,309,720
Total asset turnover		0.32	0.52	0.41	0.37	0.40	0.42	0.39	0.35	0.35	0.39	0.25	0.21	0.33	0.24	0.29	0.26	0.32	0.33	0.41	0.34

December 31, 2024 calculation

Total asset turnover = Revenue (ttm) ÷ Total assets
= $1,883,127K ÷ $5,859,900K
= 0.32

The total asset turnover ratio for Paycom Soft has fluctuated over the periods indicated in the data provided. The ratio measures the efficiency of the company in generating sales revenue from its total assets.

From March 31, 2020, to September 30, 2021, the total asset turnover ratio ranged between 0.24 and 0.41, indicating variations in how effectively the company was utilizing its assets to generate revenue. Notably, there was a dip in the ratio in March 31, 2021, where it fell to 0.26, suggesting a decrease in asset efficiency during that period.

However, from September 30, 2021, onwards, there was an upward trend in the total asset turnover ratio. The ratio showed an improvement from 0.24 in September 30, 2021, to 0.52 in September 30, 2024, indicating that Paycom Soft was able to generate more revenue with its total assets during this period.

Overall, fluctuations in the total asset turnover ratio can be influenced by changes in sales volume, asset management efficiency, and business operations. It is essential for the company to continue monitoring and improving this ratio to ensure optimal utilization of its assets for revenue generation.