Solventum Corp. (SOLV)
Total asset turnover
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | ||
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 8,253,000 | 8,274,000 | 8,246,000 | 8,208,500 | 8,236,000 | 8,146,000 | 8,101,000 | 8,115,500 | 8,130,000 |
| Total assets | US$ in thousands | 14,457,000 | 14,745,000 | 14,578,000 | 14,711,000 | 14,377,000 | 13,873,000 | 14,311,000 | 13,641,000 | 13,594,000 |
| Total asset turnover | 0.57 | 0.56 | 0.57 | 0.56 | 0.57 | 0.59 | 0.57 | 0.59 | 0.60 |
December 31, 2024 calculation
Total asset turnover = Revenue (ttm) ÷ Total assets
= $8,253,000K ÷ $14,457,000K
= 0.57
The total asset turnover of Solventum Corp. has shown a relatively consistent trend over the period from December 31, 2022, to December 31, 2024. The ratio has hovered around the range of 0.56 to 0.60 during this time frame. This indicates that for every dollar of total assets held by the company, it generated between $0.56 to $0.60 of revenue. A total asset turnover ratio of less than 1 suggests inefficiency in asset utilization, as the company is not generating a high amount of revenue relative to its total assets. Solventum Corp. may need to review its asset management strategies to improve this ratio and enhance its overall operational efficiency.
Peer comparison
Dec 31, 2024