TripAdvisor Inc (TRIP)
Total asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 1,744,000 | 1,452,000 | 858,000 | 568,000 | 1,554,000 |
| Total assets | US$ in thousands | 2,537,000 | 2,569,000 | 2,289,000 | 1,969,000 | 1,984,000 |
| Total asset turnover | 0.69 | 0.57 | 0.37 | 0.29 | 0.78 |
December 31, 2023 calculation
Total asset turnover = Revenue ÷ Total assets
= $1,744,000K ÷ $2,537,000K
= 0.69
The total asset turnover ratio for TripAdvisor Inc. has exhibited fluctuations over the past five years. From 2019 to 2020, there was a significant increase in the ratio from 0.79 to 0.31, indicating a decrease in the efficiency of generating sales from total assets. However, there was a notable recovery in 2021, with the ratio increasing to 0.39. This improvement continued in 2022 with a further increase to 0.58.
The most recent data for 2023 shows a total asset turnover ratio of 0.70, suggesting that the company has been able to generate $0.70 in sales for every $1 of total assets during the year. This may indicate an improvement in the efficiency of asset utilization compared to the previous year.
Overall, while there have been fluctuations in the total asset turnover ratio over the years, the recent increase in the ratio suggests that TripAdvisor Inc. has been more effective in generating sales from its total asset base. Monitoring this ratio closely in conjunction with other performance metrics can provide insights into the company's operational efficiency and financial health.
Peer comparison
Dec 31, 2023