Williams-Sonoma Inc (WSM)
Total asset turnover
| Jan 28, 2024 | Jan 29, 2023 | Jan 30, 2022 | Jan 31, 2021 | Feb 2, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 7,750,650 | 8,674,420 | 8,245,940 | 6,788,970 | 5,905,720 |
| Total assets | US$ in thousands | 5,273,550 | 4,663,020 | 4,625,620 | 4,661,420 | 4,054,040 |
| Total asset turnover | 1.47 | 1.86 | 1.78 | 1.46 | 1.46 |
January 28, 2024 calculation
Total asset turnover = Revenue ÷ Total assets
= $7,750,650K ÷ $5,273,550K
= 1.47
Williams-Sonoma Inc's total asset turnover has shown varying trends over the past five years. Total asset turnover is a measure of the company's efficiency in generating sales revenue relative to its total assets. A higher total asset turnover ratio indicates that the company is effectively utilizing its assets to generate sales.
In the most recent fiscal year, as of January 28, 2024, Williams-Sonoma Inc's total asset turnover decreased to 1.47 from 1.86 in the previous year. This decline may suggest a decrease in sales generated from the company's total assets compared to the previous year. However, the ratio of 1.47 may still indicate a reasonable efficiency in asset utilization.
Looking at the trend over the past five years, Williams-Sonoma Inc's total asset turnover has fluctuated between 1.46 and 1.86. The company experienced a peak in total asset turnover in January 29, 2023, at 1.86, which may indicate a period of higher sales generated per dollar of assets invested.
Overall, while there have been fluctuations in Williams-Sonoma Inc's total asset turnover ratio over the years, the company generally demonstrates a reasonable efficiency in utilizing its assets to generate sales revenue. Continued monitoring of this ratio can provide insights into the company's operational effectiveness and asset management strategies.