Titan International Inc (TWI)
Total asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 1,845,940 | 1,821,800 | 2,169,380 | 1,780,220 | 1,259,310 |
| Total assets | US$ in thousands | 1,584,950 | 1,289,240 | 1,284,630 | 1,182,680 | 1,031,880 |
| Total asset turnover | 1.16 | 1.41 | 1.69 | 1.51 | 1.22 |
December 31, 2024 calculation
Total asset turnover = Revenue ÷ Total assets
= $1,845,940K ÷ $1,584,950K
= 1.16
Total asset turnover is a key financial ratio that indicates how efficiently a company is utilizing its assets to generate sales. Titan International Inc's total asset turnover has shown fluctuations over the past five years.
In 2020, the total asset turnover was 1.22, indicating that for every dollar of assets, the company generated $1.22 in sales. The ratio increased steadily to 1.51 in 2021 and further to 1.69 in 2022, suggesting an improvement in asset utilization efficiency during these years.
However, there was a slight decline in 2023, with the total asset turnover dropping to 1.41, which may indicate a decrease in sales generated relative to the asset base. The ratio then decreased notably to 1.16 in 2024, potentially signaling decreased efficiency in asset utilization in that year.
Overall, Titan International Inc's total asset turnover has shown variability, with peaks in 2022 and declines in 2023 and 2024. It is important for the company to monitor and improve this ratio to ensure optimal utilization of its assets in generating sales.
Peer comparison
Dec 31, 2024