Watts Water Technologies Inc (WTS)
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 | 2,048,400 | 2,004,500 | 1,987,300 | 1,981,100 | 1,972,700 | 1,945,300 | 1,913,000 | 1,853,600 | 1,803,100 | 1,733,800 | 1,660,500 | 1,529,700 | 1,498,000 | 1,494,900 | 1,505,800 | 1,584,200 | 1,589,700 | 1,577,000 | 1,963,700 | 1,958,500 |
| Total assets | US$ in thousands | 2,309,400 | 2,017,600 | 2,004,400 | 1,990,000 | 1,930,900 | 1,885,600 | 1,934,300 | 1,903,300 | 1,855,600 | 1,863,200 | 1,855,300 | 1,784,400 | 1,738,200 | 1,709,000 | 1,648,300 | 1,767,400 | 1,723,100 | 1,696,300 | 1,678,400 | 1,683,400 |
| Total asset turnover | 0.89 | 0.99 | 0.99 | 1.00 | 1.02 | 1.03 | 0.99 | 0.97 | 0.97 | 0.93 | 0.90 | 0.86 | 0.86 | 0.87 | 0.91 | 0.90 | 0.92 | 0.93 | 1.17 | 1.16 |
December 31, 2023 calculation
Total asset turnover = Revenue (ttm) ÷ Total assets
= $2,048,400K ÷ $2,309,400K
= 0.89
Watts Water Technologies, Inc.'s total asset turnover has shown some fluctuations over the past eight quarters. The total asset turnover ratio is a measure of a company's efficiency in generating sales from its total assets.
In Q4 2023, the total asset turnover ratio was 0.89, indicating that the company generated $0.89 in sales for every dollar of total assets. This was a decrease from the previous quarter, where the ratio was 1.00. However, it is important to note that a total asset turnover ratio below 1 suggests that the company may not be efficiently utilizing its assets to generate sales.
Looking at the trend over the past eight quarters, the total asset turnover ratio has generally been above 1, indicating a relatively efficient use of assets in generating sales. The highest total asset turnover ratio of 1.03 was achieved in Q4 2022 and Q3 2022, suggesting that the company was able to generate $1.03 in sales for every dollar of total assets during those periods.
Overall, the fluctuation in the total asset turnover ratio of Watts Water Technologies, Inc. highlights the company's varying efficiency in utilizing its assets to drive sales. Further analysis and comparison with industry peers would provide more insights into the company's performance in this regard.
Peer comparison
Dec 31, 2023