Yum! Brands Inc (YUM)
Total asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 7,076,000 | 6,842,000 | 6,584,000 | 5,652,000 | 5,597,000 |
| Total assets | US$ in thousands | 6,231,000 | 5,846,000 | 5,966,000 | 5,852,000 | 5,231,000 |
| Total asset turnover | 1.14 | 1.17 | 1.10 | 0.97 | 1.07 |
December 31, 2023 calculation
Total asset turnover = Revenue ÷ Total assets
= $7,076,000K ÷ $6,231,000K
= 1.14
The total asset turnover ratio for Yum Brands Inc. has fluctuated over the past five years, ranging from 0.97 to 1.17. This metric indicates the company's efficiency in generating sales revenue relative to its total assets.
In 2023, the total asset turnover ratio decreased slightly to 1.14 from 1.17 in 2022. This decline suggests that Yum Brands Inc. was slightly less efficient in utilizing its assets to generate sales revenue in 2023 compared to the previous year.
However, it is important to note that the ratio remains above 1, indicating that the company is effectively utilizing its assets to generate revenue. The fluctuations in the ratio over the years may be attributed to changes in the company's asset base, sales volume, or operational efficiency.
Overall, a total asset turnover ratio above 1 is generally positive, as it indicates that the company is efficiently utilizing its assets to generate revenue. Investors and analysts may continue to monitor this ratio to assess Yum Brands Inc.'s operational efficiency and asset utilization in the future.
Peer comparison
Dec 31, 2023