Vital Energy Inc. (VTLE)

Total asset turnover

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Revenue (ttm)	US$ in thousands	1,491,174	1,197,050	1,470,610	1,645,783	1,495,182	1,639,176	1,357,310	948,273	844,278	562,119	410,399	469,362	863,451	893,508	1,069,249	1,247,510	927,670	924,835	880,272	880,711
Total assets	US$ in thousands	5,149,580	4,426,250	3,815,430	2,943,240	2,726,110	2,805,920	2,873,010	2,726,330	2,551,820	2,258,970	1,786,810	1,474,900	1,442,610	1,581,320	1,870,590	531,190	2,264,440	2,277,650	2,619,920	2,514,790
Total asset turnover		0.29	0.27	0.39	0.56	0.55	0.58	0.47	0.35	0.33	0.25	0.23	0.32	0.60	0.57	0.57	2.35	0.41	0.41	0.34	0.35

December 31, 2023 calculation

Total asset turnover = Revenue (ttm) ÷ Total assets
= $1,491,174K ÷ $5,149,580K
= 0.29

The total asset turnover for Vital Energy Inc. has fluctuated over the past few years, with the ratio ranging from as low as 0.23 to as high as 2.35. The ratio indicates how efficiently the company generates sales revenue from its total assets. A higher total asset turnover ratio suggests that the company is generating more revenue per dollar of assets, which is generally viewed favorably.

From the historical data provided, Vital Energy Inc. experienced a significant increase in total asset turnover in March 2020, reaching a peak of 2.35. This spike could be attributed to a rapid increase in sales relative to the company's total assets during that period.

However, the total asset turnover ratio decreased in subsequent quarters but remained above 0.2, suggesting that the company continued to generate revenue efficiently relative to its assets. The ratio's fluctuation indicates changes in the company's sales efficiency and asset utilization over time.

Overall, the varying total asset turnover ratios for Vital Energy Inc. over the past few years indicate fluctuations in the company's ability to efficiently generate sales revenue from its total assets. Further analysis and comparison with industry averages may provide more insights into the company's operational efficiency and performance.