Toll Brothers Inc (TOL)

Total asset turnover

		Oct 31, 2023	Oct 31, 2022	Oct 31, 2021	Oct 31, 2020	Oct 31, 2019
Revenue	US$ in thousands	9,994,940	10,275,600	8,755,150	7,088,190	7,260,240
Total assets	US$ in thousands	12,527,000	12,288,700	11,537,800	11,065,700	10,828,100
Total asset turnover		0.80	0.84	0.76	0.64	0.67

October 31, 2023 calculation

Total asset turnover = Revenue ÷ Total assets
= $9,994,940K ÷ $12,527,000K
= 0.80

Toll Brothers Inc.'s total asset turnover has fluctuated over the past five years. The ratio peaked at 0.84 in 2022, indicating that for every dollar of assets, the company generated $0.84 in sales. However, in 2023, the total asset turnover decreased to 0.80, suggesting a slight decline in efficiency in utilizing its assets to generate sales. Despite this dip, the company's total asset turnover remains relatively stable, with the 2023 figure still indicating a moderate level of efficiency in asset utilization. This trend implies that Toll Brothers Inc. has been effective in managing its total assets to generate revenue, although a closer examination would be necessary to understand the factors driving these changes.