Super Micro Computer Inc (SMCI)

Total asset turnover

		Jun 30, 2024	Jun 30, 2023	Jun 30, 2022	Jun 30, 2021	Jun 30, 2020
Revenue	US$ in thousands	14,989,300	7,123,480	5,196,100	3,557,420	3,339,280
Total assets	US$ in thousands	9,826,090	3,674,730	3,205,080	2,241,960	1,918,650
Total asset turnover		1.53	1.94	1.62	1.59	1.74

June 30, 2024 calculation

Total asset turnover = Revenue ÷ Total assets
= $14,989,300K ÷ $9,826,090K
= 1.53

Super Micro Computer Inc's total asset turnover ratio measures its efficiency in generating revenue from its total assets. The trend of the total asset turnover ratio over the past five years shows fluctuations.

- As of June 30, 2020, the total asset turnover ratio was 1.74, indicating that the company generated $1.74 in revenue for every dollar of total assets. This suggests the company efficiently utilized its assets to generate sales.

- However, by June 30, 2021, the ratio decreased to 1.59, indicating a slight decline in efficiency in utilizing its assets to generate revenue compared to the previous year.

- In June 30, 2022, the total asset turnover ratio improved to 1.62, showing a slight increase in efficiency in utilizing assets to generate sales compared to the previous year.

- By June 30, 2023, the total asset turnover ratio increased significantly to 1.94, indicating a substantial improvement in efficiency in asset utilization and revenue generation.

- In the most recent period ending June 30, 2024, the total asset turnover ratio decreased to 1.53, signaling a decline in efficiency in generating revenue from total assets compared to the previous year.

Overall, the total asset turnover ratio of Super Micro Computer Inc has shown variability over the past five years, ranging from highs to lows. It is important for the company to consistently monitor and improve this ratio to enhance its operational efficiency and profitability.