Terex Corporation (TEX)
Total asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 5,127,000 | 5,152,000 | 4,417,700 | 3,886,800 | 3,076,400 |
| Total assets | US$ in thousands | 5,730,000 | 3,615,000 | 3,118,100 | 2,863,500 | 3,031,800 |
| Total asset turnover | 0.89 | 1.43 | 1.42 | 1.36 | 1.01 |
December 31, 2024 calculation
Total asset turnover = Revenue ÷ Total assets
= $5,127,000K ÷ $5,730,000K
= 0.89
Terex Corporation's total asset turnover has experienced fluctuations over the years. From December 31, 2020, to December 31, 2021, there was a notable increase from 1.01 to 1.36, indicating that the company generated $1.36 in revenue for every dollar of assets. Subsequently, the total asset turnover continued to improve, reaching 1.42 by December 31, 2022, and further increasing to 1.43 by December 31, 2023.
However, there was a significant decline in the total asset turnover by December 31, 2024, dropping to 0.89. This decrease suggests that the company may be experiencing challenges in efficiently utilizing its assets to generate revenue. Overall, despite fluctuations, Terex Corporation has generally maintained a relatively efficient use of its assets to drive revenue, with the most recent dip possibly warranting further investigation into the causes behind the decline.