Pinnacle West Capital Corp (PNW)
Total asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 5,124,920 | 4,695,990 | 4,324,380 | 3,803,840 | 3,586,980 |
| Total assets | US$ in thousands | 26,102,800 | 24,661,200 | 22,723,400 | 22,003,200 | 20,020,400 |
| Total asset turnover | 0.20 | 0.19 | 0.19 | 0.17 | 0.18 |
December 31, 2024 calculation
Total asset turnover = Revenue ÷ Total assets
= $5,124,920K ÷ $26,102,800K
= 0.20
Total asset turnover is a financial ratio that measures a company's efficiency in generating revenue from its total assets. A higher total asset turnover ratio indicates that the company is using its assets more efficiently to generate sales.
Based on the data provided for Pinnacle West Capital Corp from December 31, 2020, to December 31, 2024, the total asset turnover ratio has shown a slight fluctuation over the years:
- December 31, 2020: 0.18
- December 31, 2021: 0.17
- December 31, 2022: 0.19
- December 31, 2023: 0.19
- December 31, 2024: 0.20
The trend indicates that the company's ability to generate revenue from its total assets has slightly improved from 2020 to 2024. However, it is essential to note that the ratio is relatively low, suggesting that Pinnacle West Capital Corp may have room for further improvement in asset utilization efficiency.
Overall, while the total asset turnover ratio has shown some improvement over the years, Pinnacle West Capital Corp may benefit from efforts to enhance its asset management and optimize its asset utilization to generate more revenue from its asset base.
Peer comparison
Dec 31, 2024