Sturm Ruger & Company Inc (RGR)
Total asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 543,767 | 595,842 | 730,736 | 568,868 | 410,506 |
| Total assets | US$ in thousands | 398,817 | 484,763 | 442,343 | 348,258 | 348,961 |
| Total asset turnover | 1.36 | 1.23 | 1.65 | 1.63 | 1.18 |
December 31, 2023 calculation
Total asset turnover = Revenue ÷ Total assets
= $543,767K ÷ $398,817K
= 1.36
Sturm, Ruger & Co., Inc.'s total asset turnover ratio has fluctuated over the past five years. The ratio measures how efficiently the company utilizes its assets to generate revenue. A higher total asset turnover ratio indicates that the company is generating more revenue per dollar of assets.
In 2023, the total asset turnover ratio increased to 1.36 from 1.23 in 2022, showing an improvement in asset efficiency. This indicates that the company was able to generate more revenue relative to its total assets in 2023 compared to the previous year.
The total asset turnover ratio was highest in 2021 at 1.65, which suggests that the company was very efficient in utilizing its assets to generate sales during that year. The decrease in the ratio in 2022 and the subsequent increase in 2023 may reflect changes in the company's operations or sales strategies.
Overall, a total asset turnover ratio above 1 indicates that Sturm, Ruger & Co., Inc. has been effectively utilizing its assets to drive sales. However, further analysis and comparison with industry benchmarks would provide a more comprehensive understanding of the company's asset efficiency and operational performance.
Peer comparison
Dec 31, 2023