RPM International Inc (RPM)
Total asset turnover
| May 31, 2024 | May 31, 2023 | May 31, 2022 | May 31, 2021 | May 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 7,210,630 | 7,128,530 | 6,615,470 | 6,018,050 | 5,406,290 |
| Total assets | US$ in thousands | 6,586,540 | 6,782,000 | 6,707,710 | 6,252,970 | 5,630,950 |
| Total asset turnover | 1.09 | 1.05 | 0.99 | 0.96 | 0.96 |
May 31, 2024 calculation
Total asset turnover = Revenue ÷ Total assets
= $7,210,630K ÷ $6,586,540K
= 1.09
The total asset turnover ratio for RPM International Inc has shown a generally increasing trend over the past five years, from 0.96 in both 2021 and 2020 to 1.09 in 2024. This indicates that the company has become more efficient in generating sales revenue relative to its total assets.
The ratio of 1.09 in 2024 suggests that for every $1 of total assets, RPM International Inc generated $1.09 in sales revenue. This improvement is a positive sign of the company's ability to utilize its assets effectively to drive revenue growth.
Overall, the increasing trend in the total asset turnover ratio reflects improved asset utilization and operational efficiency by RPM International Inc over the years, which can be indicative of effective management and potential growth prospects.
Peer comparison
May 31, 2024