Waste Management Inc (WM)
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 | 19,855,000 | 19,745,000 | 19,622,000 | 19,530,000 | 19,293,000 | 19,066,000 | 18,656,000 | 17,885,000 | 17,341,000 | 16,634,000 | 15,778,000 | 15,083,000 | 14,694,000 | 14,948,000 | 15,105,000 | 15,406,000 | 15,372,000 | 15,368,000 | 15,224,000 | 15,101,000 |
| Total assets | US$ in thousands | 32,823,000 | 31,935,000 | 31,614,000 | 31,290,000 | 31,367,000 | 29,841,000 | 30,128,000 | 29,219,000 | 29,097,000 | 28,841,000 | 29,037,000 | 29,070,000 | 29,345,000 | 24,772,000 | 26,619,000 | 27,178,000 | 27,743,000 | 27,109,000 | 25,986,000 | 23,373,000 |
| Total asset turnover | 0.60 | 0.62 | 0.62 | 0.62 | 0.62 | 0.64 | 0.62 | 0.61 | 0.60 | 0.58 | 0.54 | 0.52 | 0.50 | 0.60 | 0.57 | 0.57 | 0.55 | 0.57 | 0.59 | 0.65 |
December 31, 2023 calculation
Total asset turnover = Revenue (ttm) ÷ Total assets
= $19,855,000K ÷ $32,823,000K
= 0.60
Total asset turnover is a measure of how efficiently a company is utilizing its assets to generate revenue. Waste Management, Inc.'s total asset turnover has been relatively stable and consistent over the past eight quarters, ranging from 0.62 to 0.65. This indicates that, on average, Waste Management is generating approximately $0.62 to $0.65 in revenue for every $1 of assets held during these periods.
A total asset turnover ratio below 1 may suggest that the company could potentially improve its asset utilization to generate more sales. However, since the ratio has been fairly consistent over the quarters, it may indicate that Waste Management has a stable and efficient asset management strategy in place.
Overall, while the total asset turnover ratio for Waste Management, Inc. is not exceptionally high, it appears to be steady, indicating a moderate level of efficiency in using its assets to generate revenue.
Peer comparison
Dec 31, 2023