Royal Caribbean Cruises Ltd (RCL)
Total asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 12,346,000 | 7,385,240 | 100,364 | 1,037,510 | 10,564,600 |
| Total assets | US$ in thousands | 35,131,000 | 33,776,000 | 32,258,400 | 32,465,200 | 30,320,300 |
| Total asset turnover | 0.35 | 0.22 | 0.00 | 0.03 | 0.35 |
December 31, 2023 calculation
Total asset turnover = Revenue ÷ Total assets
= $12,346,000K ÷ $35,131,000K
= 0.35
The total asset turnover ratio of Royal Caribbean Group has varied significantly over the past five years. In 2023, the ratio improved to 0.40, indicating that the company generated $0.40 in sales revenue for every $1 of total assets. This represents a considerable increase from the previous year, where the ratio was 0.26.
In 2021, the total asset turnover was very low at 0.05, suggesting that the company was not efficiently utilizing its assets to generate sales. However, there was a significant improvement in 2022 and 2019, where the ratio was 0.36 and 0.36 respectively.
The fluctuation in the total asset turnover ratio indicates varying levels of efficiency in utilizing assets to drive revenue over the years. It is essential for Royal Caribbean Group to continue monitoring and improving this ratio to ensure optimal utilization of its assets in generating sales.
Peer comparison
Dec 31, 2023