WESCO International Inc (WCC)
Total asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 22,385,200 | 21,420,100 | 18,226,400 | 12,326,000 | 8,358,920 |
| Total assets | US$ in thousands | 15,060,900 | 14,811,700 | 12,617,700 | 11,880,200 | 5,017,640 |
| Total asset turnover | 1.49 | 1.45 | 1.44 | 1.04 | 1.67 |
December 31, 2023 calculation
Total asset turnover = Revenue ÷ Total assets
= $22,385,200K ÷ $15,060,900K
= 1.49
Wesco International, Inc.'s total asset turnover ratio has been relatively stable over the past five years. The ratio measures the company's efficiency in generating sales from its total assets.
In 2023, Wesco International, Inc. achieved a total asset turnover ratio of 1.49, which indicates that the company generated $1.49 in sales for every $1 of assets it holds. This represents a slight improvement compared to the previous year's ratio of 1.45.
The company's total asset turnover ratio has shown a positive trend since 2020, where it was at a lower level of 1.04. The significant increase in 2021 to 1.44 and the subsequent rise in 2023 indicate that Wesco International, Inc. has been utilizing its assets more efficiently to generate revenue.
However, it is essential to note the dip in the ratio in 2020, as it suggests a potential inefficiency in asset utilization during that period. Overall, the upward trend in total asset turnover signifies improved operational efficiency and better utilization of resources by Wesco International, Inc.
Peer comparison
Dec 31, 2023