Trane Technologies plc (TT)
Total asset turnover
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 19,814,000 | 19,303,200 | 18,684,100 | 18,022,900 | 17,422,900 | 17,077,000 | 16,568,400 | 16,055,800 | 15,750,100 | 15,248,500 | 14,597,800 | 14,234,700 | 13,892,000 | 13,496,200 | 13,266,900 | 12,575,200 | 12,196,000 | 13,164,400 | 14,008,900 | 15,396,900 |
| Total assets | US$ in thousands | 20,146,700 | 20,903,700 | 20,199,200 | 19,341,200 | 19,391,900 | 18,903,200 | 18,906,500 | 17,897,400 | 18,081,600 | 17,739,800 | 17,680,800 | 17,636,900 | 18,059,800 | 18,202,200 | 18,369,400 | 17,824,800 | 18,156,700 | 17,939,400 | 17,223,600 | 17,635,600 |
| Total asset turnover | 0.98 | 0.92 | 0.92 | 0.93 | 0.90 | 0.90 | 0.88 | 0.90 | 0.87 | 0.86 | 0.83 | 0.81 | 0.77 | 0.74 | 0.72 | 0.71 | 0.67 | 0.73 | 0.81 | 0.87 |
December 31, 2024 calculation
Total asset turnover = Revenue (ttm) ÷ Total assets
= $19,814,000K ÷ $20,146,700K
= 0.98
Total asset turnover measures the efficiency of Trane Technologies plc in generating sales revenue from its total assets. A higher total asset turnover indicates that the company is utilizing its assets more efficiently to generate sales.
Analyzing the trend in Trane Technologies' total asset turnover from March 31, 2020, to December 31, 2024, we observe a fluctuating pattern. The total asset turnover ratio decreased from 0.87 on March 31, 2020, to 0.67 on December 31, 2020, suggesting a decrease in the company's efficiency in generating sales from its assets.
Subsequently, there was a recovery in total asset turnover, increasing to 0.90 by March 31, 2023. The ratio remained relatively stable around the range of 0.90 to 0.98 from March 31, 2023, to December 31, 2024.
Overall, the trend in Trane Technologies plc's total asset turnover indicates fluctuations in the efficiency of the company in generating sales from its total assets. Management may need to monitor and enhance asset utilization strategies to maintain or improve this ratio in the future.
See also:
Trane Technologies plc Total Asset Turnover (Quarterly Data)