Zoetis Inc (ZTS)
Total asset turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 8,544,000 | 8,080,000 | 7,776,000 | 6,675,000 | 6,260,000 |
| Total assets | US$ in thousands | 14,300,000 | 14,925,000 | 13,900,000 | 13,600,000 | 11,545,000 |
| Total asset turnover | 0.60 | 0.54 | 0.56 | 0.49 | 0.54 |
December 31, 2023 calculation
Total asset turnover = Revenue ÷ Total assets
= $8,544,000K ÷ $14,300,000K
= 0.60
Based on the data provided, Zoetis Inc's total asset turnover has shown some fluctuation over the past five years. Total asset turnover measures a company's efficiency in generating revenue from its assets.
Zoetis Inc's total asset turnover ratio has ranged from 0.49 to 0.60 during the period from 2019 to 2023. A higher total asset turnover indicates that the company is generating more revenue per dollar of assets.
In 2023, the total asset turnover improved to 0.60 from 0.54 in 2022, which suggests that Zoetis Inc was able to generate more revenue for each dollar of assets held. This increase may indicate improved efficiency in asset utilization or increased sales relative to the asset base.
Overall, the trend in Zoetis Inc's total asset turnover ratio indicates varying levels of efficiency in utilizing its assets to generate revenue over the past five years. It will be important to monitor this ratio in future periods to assess the company's ongoing operational efficiency and asset management.
Peer comparison
Dec 31, 2023