Zimmer Biomet Holdings Inc (ZBH)

Total asset turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Revenue	US$ in thousands	7,171,400	6,780,400	7,459,000	6,789,700	7,751,900
Total assets	US$ in thousands	21,496,900	21,066,000	23,456,400	24,417,700	24,638,700
Total asset turnover		0.33	0.32	0.32	0.28	0.31

December 31, 2023 calculation

Total asset turnover = Revenue ÷ Total assets
= $7,171,400K ÷ $21,496,900K
= 0.33

The total asset turnover ratio for Zimmer Biomet Holdings Inc has fluctuated over the past five years, ranging from 0.29 to 0.34. This ratio measures how efficiently the company is generating sales revenue from its total assets. A higher total asset turnover ratio indicates that the company is effectively utilizing its assets to generate sales.

In this case, the trend in total asset turnover shows some variability, with a slight improvement in 2023 compared to the previous years. It is noteworthy that the ratio in 2023 is higher than in 2022 and 2021, indicating an increase in the company's efficiency in generating sales from its total assets.

However, it is important to consider other factors such as industry norms, company size, and business model when interpreting the total asset turnover ratio. Further analysis and comparison with industry peers would provide a more comprehensive assessment of Zimmer Biomet Holdings Inc's asset utilization efficiency.