Vertex Pharmaceuticals Inc (VRTX)

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	10,984,000	10,582,900	10,283,600	10,120,000	9,803,200	9,596,700	9,444,700	9,144,300	8,863,500	8,628,770	8,277,080	7,873,370	7,499,400	7,066,960	6,622,470	6,355,190	6,147,530	5,935,020	5,347,582	4,763,428
Total assets	US$ in thousands	22,533,200	22,240,200	20,132,100	23,917,400	22,730,200	21,726,200	20,349,200	18,974,200	18,150,900	16,706,400	15,582,200	14,256,100	13,432,500	12,618,700	12,221,700	12,115,100	11,751,800	11,301,600	10,216,400	8,893,200
Total asset turnover		0.49	0.48	0.51	0.42	0.43	0.44	0.46	0.48	0.49	0.52	0.53	0.55	0.56	0.56	0.54	0.52	0.52	0.53	0.52	0.54

December 31, 2024 calculation

Total asset turnover = Revenue (ttm) ÷ Total assets
= $10,984,000K ÷ $22,533,200K
= 0.49

The total asset turnover ratio of Vertex Pharmaceuticals Inc has shown fluctuations over the period from March 31, 2020, to December 31, 2024. The ratio ranged from a low of 0.42 in March 31, 2024, to a high of 0.56 in September 30, 2021, and December 31, 2021. This ratio measures the efficiency of the company in generating sales revenue from its investments in assets. A higher turnover ratio indicates that the company is utilizing its assets more effectively to generate revenue.

In the case of Vertex Pharmaceuticals Inc, the trend of the total asset turnover ratio generally declined from September 30, 2021, to June 30, 2024. The ratio decreased from 0.56 to 0.51 during this period, indicating a potential decrease in the company's efficiency in generating sales from its total assets. However, there was a slight uptick in the ratio in December 31, 2024, at 0.49, suggesting a possible improvement in asset utilization.

It is essential for Vertex Pharmaceuticals Inc to closely monitor its total asset turnover ratio to ensure optimal utilization of assets and maximize revenue generation. Further analysis and strategic adjustments may be necessary to improve the efficiency of the company's asset turnover in the future.