Ralph Lauren Corp Class A (RL)

Total asset turnover

		Mar 31, 2024	Mar 31, 2023	Mar 31, 2022	Mar 31, 2021	Mar 31, 2020
Revenue	US$ in thousands	6,631,400	6,443,600	6,218,500	4,400,800	6,159,800
Total assets	US$ in thousands	6,602,600	6,789,500	7,724,700	7,887,500	7,279,900
Total asset turnover		1.00	0.95	0.81	0.56	0.85

March 31, 2024 calculation

Total asset turnover = Revenue ÷ Total assets
= $6,631,400K ÷ $6,602,600K
= 1.00

The total asset turnover ratio of Ralph Lauren Corp Class A has shown varying trends over the past five years. In March 2024, the total asset turnover ratio was 1.00, indicating that the company generated $1.00 in revenue for every $1.00 of total assets. This suggests efficient utilization of assets to generate sales.

Compared to the previous year, the total asset turnover ratio increased from 0.95 in March 2023 to 1.00 in March 2024, indicating an improvement in asset utilization efficiency. This may suggest that the company managed to generate more revenue from its assets during the year.

Looking further back, the total asset turnover ratio has shown fluctuations in performance. In March 2022, the ratio was 0.81, which was lower compared to March 2023 and March 2024. This indicates that the company's ability to generate sales from its assets was weaker in that period.

In March 2021 and March 2020, the total asset turnover ratios were 0.56 and 0.85 respectively. The decrease in 2021 followed by an increase in 2020 could suggest that the company was experiencing challenges in effectively utilizing its assets to generate revenue, which improved in the following year.

Overall, the trend in Ralph Lauren Corp Class A's total asset turnover ratio indicates fluctuating performance in asset utilization efficiency over the past five years, with improvement in recent years. Further analysis of the company's operations and financial strategy would be needed to understand the factors driving these changes in asset turnover.