Parker-Hannifin Corporation (PH)

Total asset turnover

		Jun 30, 2024	Jun 30, 2023	Jun 30, 2022	Jun 30, 2021	Jun 30, 2020
Revenue	US$ in thousands	19,984,900	18,807,800	15,709,500	14,233,900	13,372,200
Total assets	US$ in thousands	29,297,800	29,964,500	25,943,900	20,341,200	19,887,800
Total asset turnover		0.68	0.63	0.61	0.70	0.67

June 30, 2024 calculation

Total asset turnover = Revenue ÷ Total assets
= $19,984,900K ÷ $29,297,800K
= 0.68

Parker-Hannifin Corporation's total asset turnover has exhibited fluctuating trends over the past five years. The ratio indicates how effectively the company generates revenue relative to its total assets.

In 2024, the total asset turnover increased to 0.68, showing an improvement compared to the previous year and reaching its highest level in the provided data. This suggests that Parker-Hannifin was more efficient in utilizing its assets to generate sales during the year.

In 2023, the total asset turnover was 0.63, which was slightly lower than the subsequent year. This indicates that the company's asset utilization might have decreased compared to the previous year, impacting its revenue generation efficiency.

In 2022, the total asset turnover was 0.61, representing a decline from the previous year. This decrease implies that Parker-Hannifin's ability to generate revenue from its total assets was less efficient during that period.

In 2021, the total asset turnover was 0.70, the highest in recent years, indicating a more effective utilization of assets to generate revenue compared to the preceding years.

In 2020, the total asset turnover stood at 0.67, which was relatively consistent with the years surrounding it, showing stable efficiency in asset utilization for revenue generation.

Overall, the fluctuation in Parker-Hannifin Corporation's total asset turnover over the analyzed period suggests varying degrees of efficiency in utilizing its total assets to generate revenue. It's important for the company to continue monitoring and improving this ratio to optimize its asset utilization efficiency and overall financial performance.