Advanced Drainage Systems Inc (WMS)
Total asset turnover
| Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | Mar 31, 2021 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 2,881,170 | 3,071,540 | 2,768,550 | 1,976,670 | 1,633,150 |
| Total assets | US$ in thousands | 3,268,910 | 2,901,120 | 2,649,760 | 2,413,830 | 2,369,890 |
| Total asset turnover | 0.88 | 1.06 | 1.04 | 0.82 | 0.69 |
March 31, 2024 calculation
Total asset turnover = Revenue ÷ Total assets
= $2,881,170K ÷ $3,268,910K
= 0.88
Based on the data provided, Advanced Drainage Systems Inc's total asset turnover has fluctuated over the past five years. Total asset turnover is a measure of how efficiently a company is utilizing its assets to generate revenue.
In the most recent fiscal year ending March 31, 2024, the total asset turnover was 0.88, indicating that for every dollar of assets the company had, it generated revenue of $0.88. This ratio decreased from the previous year, where it was 1.06.
Looking back, the total asset turnover has shown variability over the past five years. In fiscal year 2023, the total asset turnover was 1.06, indicating an efficient use of assets to generate revenue. It was also relatively high in fiscal year 2022 at 1.04. On the other hand, in fiscal year 2020, the total asset turnover was the lowest at 0.69, suggesting that the company was less efficient in generating revenue from its assets.
Overall, the fluctuation in total asset turnover suggests changes in the company's efficiency in utilizing its assets to generate revenue over the years. Further analysis and comparison with industry benchmarks could provide insights into Advanced Drainage Systems Inc's performance and potential areas for improvement.