Taylor Morn Home (TMHC)

Total asset turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Revenue	US$ in thousands	7,417,830	8,224,920	7,501,260	6,129,320	4,762,060
Total assets	US$ in thousands	8,672,090	8,470,720	8,727,780	7,738,000	5,245,690
Total asset turnover		0.86	0.97	0.86	0.79	0.91

December 31, 2023 calculation

Total asset turnover = Revenue ÷ Total assets
= $7,417,830K ÷ $8,672,090K
= 0.86

The total asset turnover ratio for Taylor Morrison Home Corp. over the past five years has fluctuated between 0.79 and 0.97, indicating the company's efficiency in generating revenue relative to its total assets. A lower total asset turnover ratio may suggest underutilization of assets or inefficiencies in revenue generation, while a higher ratio typically indicates efficient asset utilization and strong revenue generation capabilities.

In 2023, the total asset turnover ratio decreased to 0.86 from 0.97 in 2022, which could be attributed to either a decrease in revenue generation efficiency or an increase in total assets. It is important to further investigate the underlying reasons for this decline to assess whether it is a temporary fluctuation or a concerning trend for the company.

Comparing the total asset turnover ratios of Taylor Morrison Home Corp. to its historical data shows variability, with no consistent upward or downward trend over the past five years. This variability could be influenced by changes in the company's business operations, market conditions, or strategic decisions impacting asset utilization and revenue generation.

Further analysis and comparison with industry peers are recommended to gain a more comprehensive understanding of Taylor Morrison Home Corp.'s total asset turnover performance and its implications for the company's overall financial health and operational efficiency.