Quidel Corporation (QDEL)

Total asset turnover

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022
Revenue (ttm)	US$ in thousands	2,997,800	3,121,700	3,161,500	3,109,800
Total assets	US$ in thousands	8,563,100	8,539,100	8,550,300	8,787,100	8,855,800	8,655,500	8,822,400
Total asset turnover		0.35	0.37	0.37	0.35

December 31, 2023 calculation

Total asset turnover = Revenue (ttm) ÷ Total assets
= $2,997,800K ÷ $8,563,100K
= 0.35

The total asset turnover for Quidel Corporation has been relatively stable over the past eight quarters, ranging between 0.35 and 0.37. This indicates that, on average, the company generates 35% to 37% of its revenue for each dollar of assets it holds. A total asset turnover ratio below 1 typically suggests inefficiency in asset utilization, as the company is not generating a high level of sales relative to its total assets.

In Quidel Corporation's case, the consistent total asset turnover ratio suggests that the company is effectively utilizing its assets to generate revenue. However, it is important to consider industry norms and compare Quidel's ratio to its competitors to get a more accurate assessment of its performance in using its assets efficiently. Tracking the trend of this ratio over time can also provide insights into the company's operational efficiency and effectiveness in managing its assets.