Analysis of Long-term (Investment) Activity Ratios
Quarterly Data
Activity ratios measure how efficiently a company performs day-to-day tasks, such us the collection of receivables and management of inventory.
Long-term Activity Ratios (Summary)
Danaher Corp., long-term (investment) activity ratios (quarterly data)
Based on: 10-Q (reporting date: 2026-03-27), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-26), 10-Q (reporting date: 2025-06-27), 10-Q (reporting date: 2025-03-28), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-27), 10-Q (reporting date: 2024-06-28), 10-Q (reporting date: 2024-03-29), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-29), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-07-01), 10-Q (reporting date: 2022-04-01).
The analysis of investment activity ratios reveals a general trend of declining asset efficiency from early 2022 through 2023, followed by a period of stabilization beginning in the first quarter of 2024. All three primary metrics peaked in September 2022 before entering a downward trajectory, suggesting a period of significant asset expansion or a decline in revenue generation relative to the investment base.
- Net Fixed Asset Turnover
- A significant and sustained contraction is observed in this ratio, which declined from a peak of 8.40 in September 2022 to a low of 4.44 by December 2025. This represents a substantial reduction in the efficiency with which fixed assets are utilized to generate sales. The most rapid decline occurred between March 2023 and December 2023, after which the ratio began to plateau, ending the period with a slight uptick to 4.53 in March 2026.
- Total Asset Turnover
- This ratio exhibits a more moderate decline compared to fixed asset turnover. After reaching a high of 0.39 in September 2022, it decreased to a trough of 0.28 by December 2023. From March 2024 through March 2026, the ratio remained remarkably stable, fluctuating narrowly between 0.28 and 0.31. This suggests that while overall asset efficiency decreased initially, the relationship between total assets and revenue reached a steady state in the latter half of the analyzed period.
- Equity Turnover
- The equity turnover ratio followed a pattern similar to total asset turnover, peaking at 0.67 in September 2022 and falling to a minimum of 0.44 by March 2024. Following this decline, the ratio stabilized, maintaining a range between 0.44 and 0.48 for the remainder of the period. This indicates a reduction in the effectiveness of shareholder equity in generating revenue, which subsequently leveled off starting in 2024.
The correlation between the three ratios indicates a systemic shift in the company's asset structure. The disproportionately steep decline in net fixed asset turnover relative to total asset turnover suggests that the increase in the asset base was driven primarily by investments in fixed assets rather than current assets. The stabilization observed across all metrics from 2024 onwards points to a transition from an intensive investment phase to a phase of operational normalization.
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Net Fixed Asset Turnover
Danaher Corp., net fixed asset turnover calculation (quarterly data)
| Mar 27, 2026 | Dec 31, 2025 | Sep 26, 2025 | Jun 27, 2025 | Mar 28, 2025 | Dec 31, 2024 | Sep 27, 2024 | Jun 28, 2024 | Mar 29, 2024 | Dec 31, 2023 | Sep 29, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jul 1, 2022 | Apr 1, 2022 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||
| Sales | 5,951) | 6,838) | 6,053) | 5,936) | 5,741) | 6,538) | 5,798) | 5,743) | 5,796) | 6,405) | 5,624) | 5,912) | 5,949) | 8,369) | 7,663) | 7,751) | 7,688) | ||||||
| Property, plant and equipment, net of accumulated depreciation | 5,468) | 5,531) | 5,376) | 5,309) | 5,110) | 4,990) | 4,843) | 4,643) | 4,562) | 4,553) | 4,302) | 4,176) | 4,065) | 3,956) | 3,719) | 3,794) | 3,815) | ||||||
| Long-term Activity Ratio | |||||||||||||||||||||||
| Net fixed asset turnover1 | 4.53 | 4.44 | 4.51 | 4.52 | 4.66 | 4.78 | 4.90 | 5.08 | 5.20 | 5.25 | 6.01 | 6.68 | 7.31 | 7.96 | 8.40 | 8.12 | 7.94 | ||||||
| Benchmarks | |||||||||||||||||||||||
| Net Fixed Asset Turnover, Competitors2 | |||||||||||||||||||||||
| AbbVie Inc. | 11.05 | 10.87 | 10.88 | 11.04 | 10.95 | 10.97 | 10.80 | 10.95 | 10.92 | 10.89 | 11.18 | 11.33 | 11.51 | 11.76 | 11.82 | 11.57 | 11.18 | ||||||
| Amgen Inc. | 4.32 | 4.44 | 4.78 | 4.89 | 4.91 | 4.89 | 5.06 | 4.85 | 4.70 | 4.53 | 4.61 | 4.58 | 4.56 | 4.57 | 4.73 | 4.77 | 4.75 | ||||||
| Bristol-Myers Squibb Co. | 6.33 | 6.39 | 6.54 | 6.47 | 6.60 | 6.77 | 6.87 | 6.79 | 6.75 | 6.77 | 6.93 | 7.11 | 7.30 | 7.38 | 7.74 | 7.90 | 7.77 | ||||||
| Eli Lilly & Co. | 2.72 | 2.64 | 2.66 | 2.59 | 2.65 | 2.63 | 2.53 | 2.62 | 2.64 | 2.64 | 2.70 | 2.62 | 2.63 | 2.81 | 3.14 | 3.18 | 3.22 | ||||||
| Gilead Sciences Inc. | 5.19 | 5.16 | 5.19 | 5.26 | 5.27 | 5.28 | 5.22 | 5.17 | 5.13 | 5.07 | 4.88 | 4.91 | 4.88 | 4.93 | 5.01 | 5.13 | 5.18 | ||||||
| Johnson & Johnson | 4.14 | 4.07 | 4.13 | 4.13 | 4.28 | 4.33 | 4.28 | 4.38 | 4.36 | 4.28 | 4.65 | 4.37 | 4.58 | 4.79 | 5.29 | 5.21 | 5.07 | ||||||
| Merck & Co. Inc. | 2.59 | 2.57 | 2.51 | 2.52 | 2.58 | 2.70 | 2.69 | 2.69 | 2.66 | 2.61 | 2.63 | 2.62 | 2.66 | 2.77 | 2.89 | 2.85 | 2.73 | ||||||
| Pfizer Inc. | 3.26 | 3.24 | 3.33 | 3.40 | 3.40 | 3.46 | 3.26 | 2.97 | 2.98 | 3.14 | 3.88 | 4.48 | 5.46 | 6.17 | 6.47 | 6.64 | 6.12 | ||||||
| Regeneron Pharmaceuticals Inc. | 2.83 | 2.80 | 2.85 | 2.94 | 3.00 | 3.09 | 3.12 | 3.13 | 3.10 | 3.16 | 3.27 | 3.23 | 3.19 | 3.23 | 3.70 | 3.91 | 4.64 | ||||||
| Thermo Fisher Scientific Inc. | 4.24 | 4.22 | 4.30 | 4.48 | 4.60 | 4.61 | 4.50 | 4.56 | 4.56 | 4.54 | 4.74 | 4.68 | 4.68 | 4.84 | 5.12 | 5.02 | 4.87 | ||||||
| Vertex Pharmaceuticals Inc. | 7.60 | 7.89 | 8.23 | 8.55 | 8.57 | 8.98 | 9.51 | 8.61 | 8.68 | 8.51 | 8.59 | 8.47 | 8.28 | 8.06 | 7.78 | 7.59 | 7.18 | ||||||
Based on: 10-Q (reporting date: 2026-03-27), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-26), 10-Q (reporting date: 2025-06-27), 10-Q (reporting date: 2025-03-28), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-27), 10-Q (reporting date: 2024-06-28), 10-Q (reporting date: 2024-03-29), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-29), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-07-01), 10-Q (reporting date: 2022-04-01).
1 Q1 2026 Calculation
Net fixed asset turnover
= (SalesQ1 2026
+ SalesQ4 2025
+ SalesQ3 2025
+ SalesQ2 2025)
÷ Property, plant and equipment, net of accumulated depreciation
= (5,951 + 6,838 + 6,053 + 5,936)
÷ 5,468 = 4.53
2 Click competitor name to see calculations.
The analysis of long-term investment activity reveals a significant and sustained decline in the efficiency of fixed asset utilization over the period from April 2022 to March 2026. The net fixed asset turnover ratio, which measures the ability of a company to generate sales from its investment in property, plant, and equipment, transitioned from a peak of 8.40 in September 2022 to a stabilized level of approximately 4.53 by March 2026.
- Revenue Trajectory
- Sales experienced notable volatility and an overall downward shift in baseline levels. Initial quarterly revenues in 2022 frequently exceeded 7,600 million USD, peaking at 8,369 million USD in December 2022. However, from March 2023 onward, sales shifted to a lower range, typically fluctuating between 5,700 million USD and 6,800 million USD. While some seasonal peaks occurred in December of each year, the revenue generation capacity did not return to 2022 levels.
- Fixed Asset Accumulation
- In contrast to the fluctuating sales, net property, plant, and equipment showed a consistent and linear upward trend. Net fixed assets grew from 3,815 million USD in April 2022 to 5,468 million USD by March 2026. This steady increase indicates a period of continuous capital expenditure and expansion of the company's physical infrastructure.
- Net Fixed Asset Turnover Correlation
- The contraction of the turnover ratio is the result of a divergence between asset growth and revenue performance. The most acute decline occurred between September 2022 and December 2023, where the ratio dropped from 8.40 to 5.25. This period was characterized by the simultaneous occurrence of falling sales and rising fixed assets. From 2024 through early 2026, the ratio reached a plateau, oscillating between 4.44 and 5.20, suggesting that the company has entered a phase of stabilized, albeit lower, asset productivity.
Overall, the data indicates that the expansion of the fixed asset base has not been matched by a proportional increase in sales. The halving of the turnover ratio suggests that each dollar invested in net fixed assets now generates significantly less revenue than it did in early 2022, reflecting a decrease in the operational efficiency of the company's long-term capital investments.
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Total Asset Turnover
Danaher Corp., total asset turnover calculation (quarterly data)
| Mar 27, 2026 | Dec 31, 2025 | Sep 26, 2025 | Jun 27, 2025 | Mar 28, 2025 | Dec 31, 2024 | Sep 27, 2024 | Jun 28, 2024 | Mar 29, 2024 | Dec 31, 2023 | Sep 29, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jul 1, 2022 | Apr 1, 2022 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||
| Sales | 5,951) | 6,838) | 6,053) | 5,936) | 5,741) | 6,538) | 5,798) | 5,743) | 5,796) | 6,405) | 5,624) | 5,912) | 5,949) | 8,369) | 7,663) | 7,751) | 7,688) | ||||||
| Total assets | 83,544) | 83,464) | 79,897) | 81,620) | 79,116) | 77,542) | 80,615) | 78,555) | 83,402) | 84,488) | 87,734) | 84,902) | 85,040) | 84,350) | 81,030) | 81,806) | 83,392) | ||||||
| Long-term Activity Ratio | |||||||||||||||||||||||
| Total asset turnover1 | 0.30 | 0.29 | 0.30 | 0.29 | 0.30 | 0.31 | 0.29 | 0.30 | 0.28 | 0.28 | 0.29 | 0.33 | 0.35 | 0.37 | 0.39 | 0.38 | 0.36 | ||||||
| Benchmarks | |||||||||||||||||||||||
| Total Asset Turnover, Competitors2 | |||||||||||||||||||||||
| AbbVie Inc. | 0.46 | 0.46 | 0.45 | 0.43 | 0.42 | 0.42 | 0.39 | 0.39 | 0.37 | 0.40 | 0.40 | 0.41 | 0.42 | 0.42 | 0.41 | 0.40 | 0.40 | ||||||
| Amgen Inc. | 0.38 | 0.39 | 0.38 | 0.38 | 0.37 | 0.35 | 0.34 | 0.32 | 0.30 | 0.28 | 0.28 | 0.28 | 0.28 | 0.38 | 0.38 | 0.41 | 0.41 | ||||||
| Bristol-Myers Squibb Co. | 0.56 | 0.54 | 0.50 | 0.50 | 0.52 | 0.52 | 0.51 | 0.49 | 0.46 | 0.47 | 0.49 | 0.48 | 0.49 | 0.48 | 0.48 | 0.47 | 0.46 | ||||||
| Eli Lilly & Co. | 0.62 | 0.58 | 0.52 | 0.53 | 0.55 | 0.57 | 0.54 | 0.54 | 0.56 | 0.53 | 0.55 | 0.54 | 0.52 | 0.58 | 0.62 | 0.62 | 0.62 | ||||||
| Gilead Sciences Inc. | 0.52 | 0.49 | 0.49 | 0.52 | 0.51 | 0.48 | 0.52 | 0.52 | 0.48 | 0.43 | 0.44 | 0.44 | 0.43 | 0.43 | 0.43 | 0.43 | 0.43 | ||||||
| Johnson & Johnson | 0.48 | 0.47 | 0.48 | 0.47 | 0.46 | 0.49 | 0.49 | 0.48 | 0.50 | 0.51 | 0.53 | 0.47 | 0.47 | 0.51 | 0.55 | 0.54 | 0.53 | ||||||
| Merck & Co. Inc. | 0.51 | 0.47 | 0.50 | 0.54 | 0.56 | 0.55 | 0.54 | 0.55 | 0.58 | 0.56 | 0.56 | 0.56 | 0.54 | 0.54 | 0.55 | 0.53 | 0.51 | ||||||
| Pfizer Inc. | 0.30 | 0.30 | 0.30 | 0.31 | 0.30 | 0.30 | 0.28 | 0.26 | 0.25 | 0.26 | 0.32 | 0.36 | 0.48 | 0.51 | 0.51 | 0.52 | 0.50 | ||||||
| Regeneron Pharmaceuticals Inc. | 0.37 | 0.35 | 0.35 | 0.37 | 0.38 | 0.38 | 0.37 | 0.37 | 0.38 | 0.40 | 0.41 | 0.41 | 0.41 | 0.42 | 0.50 | 0.52 | 0.63 | ||||||
| Thermo Fisher Scientific Inc. | 0.40 | 0.40 | 0.42 | 0.43 | 0.43 | 0.44 | 0.42 | 0.43 | 0.44 | 0.43 | 0.45 | 0.46 | 0.46 | 0.46 | 0.49 | 0.47 | 0.44 | ||||||
| Vertex Pharmaceuticals Inc. | 0.46 | 0.47 | 0.47 | 0.48 | 0.49 | 0.49 | 0.48 | 0.51 | 0.43 | 0.43 | 0.44 | 0.47 | 0.49 | 0.49 | 0.52 | 0.54 | 0.56 | ||||||
Based on: 10-Q (reporting date: 2026-03-27), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-26), 10-Q (reporting date: 2025-06-27), 10-Q (reporting date: 2025-03-28), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-27), 10-Q (reporting date: 2024-06-28), 10-Q (reporting date: 2024-03-29), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-29), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-07-01), 10-Q (reporting date: 2022-04-01).
1 Q1 2026 Calculation
Total asset turnover
= (SalesQ1 2026
+ SalesQ4 2025
+ SalesQ3 2025
+ SalesQ2 2025)
÷ Total assets
= (5,951 + 6,838 + 6,053 + 5,936)
÷ 83,544 = 0.30
2 Click competitor name to see calculations.
The Total Asset Turnover ratio exhibited a distinct downward trajectory between 2022 and 2023, transitioning from a peak of 0.39 in September 2022 to a low of 0.28 by the end of 2023. Following this decline, the ratio entered a period of stabilization, fluctuating within a narrow corridor between 0.28 and 0.31 through the first quarter of 2026.
- Revenue Performance and Seasonality
- Sales experienced a significant structural shift starting in early 2023. While quarterly revenues in 2022 remained consistently above 7.6 billion USD, the subsequent periods showed a lower baseline, generally ranging between 5.6 billion and 6.8 billion USD. A consistent seasonal pattern is evident, with the highest revenue peaks occurring every December of each fiscal year.
- Asset Base Volatility
- Total assets remained relatively stable, fluctuating between a minimum of 77.5 billion USD in December 2024 and a maximum of 87.7 billion USD in September 2023. The increase in assets during 2023 occurred simultaneously with declining sales, which contributed to the compression of the turnover ratio. A subsequent reduction in the asset base throughout 2024 helped prevent further deterioration of the turnover ratio despite the lower revenue environment.
- Efficiency and Asset Utilization
- The decline in the Total Asset Turnover ratio during 2023 reflects a period of diminished asset efficiency, where the asset base grew while sales contracted. The stabilization observed from 2024 through early 2026 indicates an alignment of the company's investment level with its current revenue-generating capacity. However, the failure of the ratio to recover to 2022 levels suggests a permanent shift in the efficiency with which assets are being utilized to generate top-line growth.
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Equity Turnover
Danaher Corp., equity turnover calculation (quarterly data)
| Mar 27, 2026 | Dec 31, 2025 | Sep 26, 2025 | Jun 27, 2025 | Mar 28, 2025 | Dec 31, 2024 | Sep 27, 2024 | Jun 28, 2024 | Mar 29, 2024 | Dec 31, 2023 | Sep 29, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jul 1, 2022 | Apr 1, 2022 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||
| Sales | 5,951) | 6,838) | 6,053) | 5,936) | 5,741) | 6,538) | 5,798) | 5,743) | 5,796) | 6,405) | 5,624) | 5,912) | 5,949) | 8,369) | 7,663) | 7,751) | 7,688) | ||||||
| Total Danaher stockholders’ equity | 52,949) | 52,534) | 51,071) | 52,334) | 50,849) | 49,543) | 51,299) | 49,897) | 53,442) | 53,486) | 52,407) | 51,716) | 51,478) | 50,082) | 46,985) | 46,594) | 46,356) | ||||||
| Long-term Activity Ratio | |||||||||||||||||||||||
| Equity turnover1 | 0.47 | 0.47 | 0.48 | 0.46 | 0.47 | 0.48 | 0.46 | 0.47 | 0.44 | 0.45 | 0.49 | 0.54 | 0.58 | 0.63 | 0.67 | 0.66 | 0.65 | ||||||
| Benchmarks | |||||||||||||||||||||||
| Equity Turnover, Competitors2 | |||||||||||||||||||||||
| AbbVie Inc. | — | — | — | — | 40.40 | 16.94 | 9.21 | 8.11 | 6.79 | 5.24 | 4.56 | 4.35 | 4.27 | 3.36 | 3.62 | 3.91 | 3.48 | ||||||
| Amgen Inc. | 3.86 | 4.06 | 3.59 | 4.51 | 5.28 | 5.45 | 4.14 | 4.99 | 5.61 | 4.32 | 3.35 | 3.73 | 4.66 | 6.77 | 6.71 | 10.17 | 26.68 | ||||||
| Bristol-Myers Squibb Co. | 2.42 | 2.61 | 2.59 | 2.74 | 2.74 | 2.96 | 2.77 | 2.73 | 2.76 | 1.53 | 1.55 | 1.41 | 1.44 | 1.49 | 1.43 | 1.45 | 1.49 | ||||||
| Eli Lilly & Co. | 2.32 | 2.46 | 2.50 | 2.91 | 3.11 | 3.17 | 2.87 | 2.87 | 2.80 | 3.17 | 2.86 | 2.67 | 2.47 | 2.68 | 2.90 | 3.40 | 3.14 | ||||||
| Gilead Sciences Inc. | 1.24 | 1.27 | 1.33 | 1.46 | 1.49 | 1.48 | 1.52 | 1.51 | 1.56 | 1.18 | 1.22 | 1.28 | 1.27 | 1.27 | 1.27 | 1.34 | 1.37 | ||||||
| Johnson & Johnson | 1.19 | 1.16 | 1.16 | 1.15 | 1.14 | 1.24 | 1.25 | 1.21 | 1.22 | 1.24 | 1.23 | 1.20 | 1.30 | 1.24 | 1.29 | 1.25 | 1.27 | ||||||
| Merck & Co. Inc. | 1.43 | 1.24 | 1.24 | 1.30 | 1.32 | 1.39 | 1.42 | 1.43 | 1.52 | 1.60 | 1.44 | 1.51 | 1.24 | 1.29 | 1.33 | 1.32 | 1.32 | ||||||
| Pfizer Inc. | 0.70 | 0.72 | 0.68 | 0.72 | 0.69 | 0.72 | 0.65 | 0.64 | 0.61 | 0.67 | 0.71 | 0.79 | 0.92 | 1.05 | 1.08 | 1.16 | 1.12 | ||||||
| Regeneron Pharmaceuticals Inc. | 0.47 | 0.46 | 0.46 | 0.47 | 0.48 | 0.48 | 0.47 | 0.48 | 0.49 | 0.51 | 0.53 | 0.53 | 0.53 | 0.54 | 0.64 | 0.69 | 0.83 | ||||||
| Thermo Fisher Scientific Inc. | 0.87 | 0.83 | 0.86 | 0.86 | 0.87 | 0.86 | 0.86 | 0.89 | 0.93 | 0.92 | 0.96 | 0.99 | 1.04 | 1.02 | 1.01 | 1.01 | 1.00 | ||||||
| Vertex Pharmaceuticals Inc. | 0.63 | 0.64 | 0.68 | 0.66 | 0.67 | 0.67 | 0.68 | 0.70 | 0.55 | 0.56 | 0.58 | 0.61 | 0.64 | 0.64 | 0.67 | 0.70 | 0.73 | ||||||
Based on: 10-Q (reporting date: 2026-03-27), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-26), 10-Q (reporting date: 2025-06-27), 10-Q (reporting date: 2025-03-28), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-27), 10-Q (reporting date: 2024-06-28), 10-Q (reporting date: 2024-03-29), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-29), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-07-01), 10-Q (reporting date: 2022-04-01).
1 Q1 2026 Calculation
Equity turnover
= (SalesQ1 2026
+ SalesQ4 2025
+ SalesQ3 2025
+ SalesQ2 2025)
÷ Total Danaher stockholders’ equity
= (5,951 + 6,838 + 6,053 + 5,936)
÷ 52,949 = 0.47
2 Click competitor name to see calculations.
The equity turnover ratio exhibits a distinct transition from a period of volatility and contraction to a prolonged phase of stability. The efficiency of equity utilization in generating sales experienced a significant decline throughout 2023 before reaching a plateau that persisted through the first quarter of 2026.
- Equity Turnover Trend Analysis
- A peak efficiency of 0.67 was observed in September 2022. This was followed by a sustained downward trend throughout 2023, where the ratio fell from 0.58 in March 2023 to a low of 0.44 by March 2024. From mid-2024 through March 2026, the ratio stabilized, fluctuating within a narrow range between 0.44 and 0.48, indicating a consistent but lower level of asset productivity compared to early 2022.
- Drivers of Ratio Deterioration
- The contraction in the turnover ratio during 2023 is attributable to a simultaneous decrease in quarterly sales and an increase in the equity base. Sales revenue declined from 8,369 million USD in December 2022 to 5,624 million USD in September 2023. Concurrently, total stockholders' equity grew from 50,082 million USD to 52,407 million USD during the same window, creating a dual pressure that suppressed the turnover ratio.
- Stabilization and Equilibrium (2024-2026)
- Entering 2024, the relationship between sales and equity reached a state of equilibrium. While quarterly sales continued to fluctuate—reaching a high of 6,838 million USD in December 2024—the total stockholders' equity remained relatively stable, oscillating between approximately 49,500 million USD and 53,000 million USD. This synchronization resulted in the equity turnover ratio remaining virtually flat at approximately 0.47 for the final ten quarters of the analyzed period.
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