SolarWinds Corp (SWI)
Total asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 758,740 | 719,367 | 718,632 | 716,770 | 669,103 |
| Total assets | US$ in thousands | 3,250,920 | 3,200,010 | 4,792,130 | 5,710,480 | 5,310,740 |
| Total asset turnover | 0.23 | 0.22 | 0.15 | 0.13 | 0.13 |
December 31, 2023 calculation
Total asset turnover = Revenue ÷ Total assets
= $758,740K ÷ $3,250,920K
= 0.23
The total asset turnover of SolarWinds Corp has shown a generally increasing trend over the past five years, indicating an improvement in the company's ability to generate revenue relative to its total assets. The ratio has increased from 0.13 in both 2019 and 2020 to 0.15 in 2021, further rising to 0.22 in 2022, and then reaching 0.23 in 2023. This suggests that the company has become more efficient in utilizing its assets to generate sales. A higher total asset turnover ratio is favorable as it indicates that the company is generating more sales per dollar of assets employed. Continued monitoring of this metric will be essential to assess the company's ability to sustain and potentially improve its operational efficiency.
Peer comparison
Dec 31, 2023