Progress Software Corporation (PRGS)

Total asset turnover

		Feb 29, 2024	Nov 30, 2023	Aug 31, 2023	May 31, 2023	Feb 28, 2023	Nov 30, 2022	Aug 31, 2022	May 31, 2022	Feb 28, 2022	Nov 30, 2021	Aug 31, 2021	May 31, 2021	Feb 28, 2021	Nov 30, 2020	Aug 31, 2020	May 31, 2020	Feb 29, 2020	Nov 30, 2019	Aug 31, 2019	May 31, 2019
Revenue (ttm)	US$ in thousands	714,898	694,439	674,596	650,821	621,317	602,013	585,014	581,214	554,955	531,313	513,570	475,852	453,747	442,150	436,803	433,820	433,432	413,298	394,364	383,331
Total assets	US$ in thousands	1,547,770	1,602,780	1,597,470	1,601,880	1,643,610	1,411,480	1,346,290	1,354,580	1,353,120	1,363,540	1,275,490	1,239,990	1,027,060	1,041,780	919,468	895,602	890,182	881,271	859,925	829,905
Total asset turnover		0.46	0.43	0.42	0.41	0.38	0.43	0.43	0.43	0.41	0.39	0.40	0.38	0.44	0.42	0.48	0.48	0.49	0.47	0.46	0.46

February 29, 2024 calculation

Total asset turnover = Revenue (ttm) ÷ Total assets
= $714,898K ÷ $1,547,770K
= 0.46

Progress Software Corporation's total asset turnover ratio has been fluctuating over the past several periods. The ratio indicates how efficiently the company is using its assets to generate revenue. A total asset turnover ratio of less than 1 typically suggests that the company is not efficiently utilizing its assets to generate sales.

In this case, Progress Software Corporation's total asset turnover ratio ranges from 0.38 to 0.49, with the most recent ratio being 0.46. The gradual increase in the ratio from 0.38 to 0.46 may indicate improving efficiency in asset utilization for revenue generation.

However, it is important to note that a total asset turnover ratio should be considered in conjunction with other financial ratios and industry benchmarks to assess the company's overall financial performance and efficiency in managing its assets.