Treehouse Foods Inc (THS)
Total asset turnover
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 3,512,500 | 3,723,700 | 3,693,300 | 3,659,900 | 3,537,700 | 3,232,000 | 3,150,800 | 3,279,600 | 3,500,200 | 2,763,200 | 3,057,200 | 3,160,100 | 3,251,800 | 4,312,000 | 4,323,600 | 4,307,000 | 4,288,900 | 4,630,500 | 4,967,200 | 5,397,700 |
| Total assets | US$ in thousands | 4,106,600 | 4,318,500 | 4,380,400 | 4,254,000 | 4,253,900 | 5,188,100 | 5,267,400 | 5,228,200 | 5,207,800 | 5,082,300 | 5,081,400 | 5,142,500 | 5,485,700 | 5,385,900 | 5,242,000 | 5,271,000 | 5,139,400 | 5,261,200 | 5,592,900 | 5,765,000 |
| Total asset turnover | 0.86 | 0.86 | 0.84 | 0.86 | 0.83 | 0.62 | 0.60 | 0.63 | 0.67 | 0.54 | 0.60 | 0.61 | 0.59 | 0.80 | 0.82 | 0.82 | 0.83 | 0.88 | 0.89 | 0.94 |
December 31, 2023 calculation
Total asset turnover = Revenue (ttm) ÷ Total assets
= $3,512,500K ÷ $4,106,600K
= 0.86
Treehouse Foods Inc's total asset turnover ratio has shown some fluctuation over the past eight quarters. The ratio ranged from a low of 0.65 in Q2 2023 to a high of 0.87 in Q2 2022. A higher total asset turnover ratio indicates that the company is more efficient in generating sales revenue from its assets.
The downward trend in total asset turnover from Q2 2022 to Q2 2023 raises some concerns about the company's asset management efficiency. The lower ratios in Q2 and Q3 2023 suggest that Treehouse Foods Inc may be experiencing challenges in effectively utilizing its assets to generate sales.
Further analysis and comparison with industry benchmarks would be beneficial to understand if the fluctuations in total asset turnover are unique to Treehouse Foods Inc or if they are reflective of broader industry trends. It would also be important to assess any operational or strategic changes that may have impacted the company's asset turnover performance during the quarters in question.
Peer comparison
Dec 31, 2023