SolarEdge Technologies Inc (SEDG)
Total asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 2,976,530 | 3,110,280 | 1,963,860 | 1,459,270 | 1,425,660 |
| Total assets | US$ in thousands | 4,587,730 | 4,265,950 | 2,900,950 | 2,437,110 | 1,494,620 |
| Total asset turnover | 0.65 | 0.73 | 0.68 | 0.60 | 0.95 |
December 31, 2023 calculation
Total asset turnover = Revenue ÷ Total assets
= $2,976,530K ÷ $4,587,730K
= 0.65
Solaredge Technologies Inc's total asset turnover ratio has fluctuated over the past five years. The ratio was 0.65 in 2023, down from 0.73 in 2022 and 0.68 in 2021. This indicates that the company generated $0.65 in revenue for each dollar of total assets in 2023.
The decline in the total asset turnover ratio from 2021 to 2023 suggests that the company may be less efficient in utilizing its assets to generate sales. However, it is important to note that a single ratio does not provide a complete picture of a company's financial performance, and additional analysis and context would be required to fully understand the implications of this trend.
Peer comparison
Dec 31, 2023