Power Integrations Inc (POWI)
Total asset turnover
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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Revenue (ttm) | US$ in thousands | 444,538 | 479,801 | 514,523 | 575,286 | 651,138 | 699,022 | 715,565 | 711,689 | 703,277 | 681,316 | 625,669 | 552,391 | 488,318 | 452,082 | 445,112 | 441,145 | 420,669 | 399,519 | 395,445 | 402,062 |
Total assets | US$ in thousands | 819,868 | 865,490 | 859,457 | 851,405 | 840,096 | 837,963 | 809,004 | 919,195 | 1,014,490 | 1,004,990 | 967,849 | 944,719 | 903,339 | 876,068 | 853,777 | 827,439 | 803,896 | 636,410 | 620,389 | 600,505 |
Total asset turnover | 0.54 | 0.55 | 0.60 | 0.68 | 0.78 | 0.83 | 0.88 | 0.77 | 0.69 | 0.68 | 0.65 | 0.58 | 0.54 | 0.52 | 0.52 | 0.53 | 0.52 | 0.63 | 0.64 | 0.67 |
December 31, 2023 calculation
Total asset turnover = Revenue (ttm) ÷ Total assets
= $444,538K ÷ $819,868K
= 0.54
Total asset turnover measures how efficiently a company utilizes its assets to generate revenue. A higher total asset turnover indicates that a company is more efficient in generating sales with a lower level of assets.
Power Integrations Inc.'s total asset turnover has been fluctuating over the past eight quarters, ranging from 0.54 to 0.88. The trend shows a decline over this period, starting at 0.88 in Q2 2022 and gradually decreasing to 0.54 in Q4 2023.
The decreasing trend in total asset turnover may signal inefficiencies in asset utilization or a decrease in sales relative to total assets. It is essential for the company to effectively manage its assets to improve this ratio and enhance overall operational efficiency.
Further analysis and comparison with industry peers or historical data can provide deeper insights into the company's asset management strategies and overall financial performance.
Peer comparison
Dec 31, 2023