Total Asset Turnover
since 2005
Calculation
Ecolab Inc., total asset turnover, long-term trends, calculation
| Total asset turnover | = | Net sales1 | ÷ | Total assets1 | |
|---|---|---|---|---|---|
| Dec 31, 2021 | 0.60 | = | 12,733,100) | ÷ | 21,206,400) |
| Dec 31, 2020 | 0.65 | = | 11,790,200) | ÷ | 18,126,000) |
| Dec 31, 2019 | 0.71 | = | 14,906,300) | ÷ | 20,869,100) |
| Dec 31, 2018 | 0.73 | = | 14,668,200) | ÷ | 20,074,500) |
| Dec 31, 2017 | 0.69 | = | 13,838,300) | ÷ | 19,962,400) |
| Dec 31, 2016 | 0.72 | = | 13,152,800) | ÷ | 18,330,200) |
| Dec 31, 2015 | 0.73 | = | 13,545,100) | ÷ | 18,641,700) |
| Dec 31, 2014 | 0.73 | = | 14,280,500) | ÷ | 19,466,700) |
| Dec 31, 2013 | 0.67 | = | 13,253,400) | ÷ | 19,636,500) |
| Dec 31, 2012 | 0.67 | = | 11,838,700) | ÷ | 17,572,300) |
| Dec 31, 2011 | 0.37 | = | 6,798,500) | ÷ | 18,240,800) |
| Dec 31, 2010 | 1.25 | = | 6,089,700) | ÷ | 4,872,200) |
| Dec 31, 2009 | 1.18 | = | 5,900,600) | ÷ | 5,020,900) |
| Dec 31, 2008 | 1.29 | = | 6,137,500) | ÷ | 4,756,900) |
| Dec 31, 2007 | 1.16 | = | 5,469,600) | ÷ | 4,722,800) |
| Dec 31, 2006 | 1.11 | = | 4,895,814) | ÷ | 4,419,365) |
| Dec 31, 2005 | 1.19 | = | 4,534,832) | ÷ | 3,796,628) |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
1 US$ in thousands
The total asset turnover ratio reflects a significant structural shift in the company's balance sheet and revenue generation capacity between 2005 and 2021. The analyzed period is characterized by two distinct eras of asset utilization, separated by a massive expansion of the asset base.
- Initial Operational Phase (2005–2010)
- During this period, high asset efficiency was maintained, with the total asset turnover ratio fluctuating between 1.11 and 1.29. Net sales grew steadily from 4.5 billion USD to 6.1 billion USD, supported by a moderately increasing asset base that rose from 3.8 billion USD to 4.9 billion USD. This suggests a lean operational model where assets were utilized highly effectively to drive top-line growth.
- Structural Inflection and Asset Expansion (2011)
- A sharp inflection point is observed in 2011, marked by a dramatic increase in total assets from 4.9 billion USD to 18.2 billion USD. This sudden expansion caused the total asset turnover ratio to plummet to 0.37, the lowest point in the recorded period. This pattern is indicative of a major capital investment or acquisition that significantly increased the balance sheet size before the corresponding revenue gains could be fully realized.
- Normalization and Stabilization (2012–2019)
- Following the 2011 expansion, the asset turnover ratio underwent a period of recovery and stabilization, ranging between 0.67 and 0.73. Net sales increased substantially during this phase, peaking at approximately 14.9 billion USD in 2018. Total assets remained relatively stable, fluctuating between 17.5 billion and 20.9 billion USD, indicating a period of integration and scaling of the expanded asset base.
- Recent Efficiency Decline (2020–2021)
- A downward trend in asset utilization is evident in the final two years. Net sales experienced a notable contraction in 2020 to 11.8 billion USD, with a partial recovery to 12.7 billion USD by 2021. Despite a reduction in total assets in 2020, the overall asset turnover ratio declined to 0.60 by December 31, 2021, reflecting decreased efficiency in generating sales relative to the company's investment in assets.
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Comparison to Competitors
Ecolab Inc., total asset turnover, long-term trends, comparison to competitors
| Ecolab Inc. | Linde plc | Sherwin-Williams Co. | |
|---|---|---|---|
| Dec 31, 2021 | 0.60 | 0.38 | 0.97 |
| Dec 31, 2020 | 0.65 | 0.31 | 0.90 |
| Dec 31, 2019 | 0.71 | 0.33 | 0.87 |
| Dec 31, 2018 | 0.73 | 0.16 | 0.92 |
| Dec 31, 2017 | 0.69 | 0.56 | 0.75 |
| Dec 31, 2016 | 0.72 | 0.54 | 1.76 |
| Dec 31, 2015 | 0.73 | 0.59 | 1.96 |
| Dec 31, 2014 | 0.73 | 0.62 | 1.95 |
| Dec 31, 2013 | 0.67 | 0.59 | 1.60 |
| Dec 31, 2012 | 0.67 | 0.62 | 1.53 |
| Dec 31, 2011 | 0.37 | 0.69 | 1.68 |
| Dec 31, 2010 | 1.25 | 0.66 | 1.50 |
| Dec 31, 2009 | 1.18 | 0.63 | 1.64 |
| Dec 31, 2008 | 1.29 | 0.83 | 1.81 |
| Dec 31, 2007 | 1.16 | 0.70 | 1.65 |
| Dec 31, 2006 | 1.11 | 0.75 | 1.56 |
| Dec 31, 2005 | 1.19 | 0.73 | 1.65 |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Sector (Chemicals)
Ecolab Inc., total asset turnover, long-term trends, comparison to sector (chemicals)
| Ecolab Inc. | Chemicals | |
|---|---|---|
| Dec 31, 2021 | 0.60 | 0.50 |
| Dec 31, 2020 | 0.65 | 0.42 |
| Dec 31, 2019 | 0.71 | 0.43 |
| Dec 31, 2018 | 0.73 | 0.29 |
| Dec 31, 2017 | 0.69 | 0.65 |
| Dec 31, 2016 | 0.72 | 0.86 |
| Dec 31, 2015 | 0.73 | 0.92 |
| Dec 31, 2014 | 0.73 | 0.92 |
| Dec 31, 2013 | 0.67 | 0.83 |
| Dec 31, 2012 | 0.67 | 0.85 |
| Dec 31, 2011 | 0.37 | 0.93 |
| Dec 31, 2010 | 1.25 | 0.88 |
| Dec 31, 2009 | 1.18 | 0.86 |
| Dec 31, 2008 | 1.29 | 1.07 |
| Dec 31, 2007 | 1.16 | 0.95 |
| Dec 31, 2006 | 1.11 | 1.00 |
| Dec 31, 2005 | 1.19 | 1.00 |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Industry (Materials)
Ecolab Inc., total asset turnover, long-term trends, comparison to industry (materials)
| Ecolab Inc. | Materials | |
|---|---|---|
| Dec 31, 2021 | 0.60 | 0.49 |
| Dec 31, 2020 | 0.65 | 0.40 |
| Dec 31, 2019 | 0.71 | 0.41 |
| Dec 31, 2018 | 0.73 | 0.33 |
| Dec 31, 2017 | 0.69 | 0.55 |
| Dec 31, 2016 | 0.72 | 0.59 |
| Dec 31, 2015 | 0.73 | 0.54 |
| Dec 31, 2014 | 0.73 | 0.53 |
| Dec 31, 2013 | 0.67 | 0.48 |
| Dec 31, 2012 | 0.67 | 0.65 |
| Dec 31, 2011 | 0.37 | 0.76 |
| Dec 31, 2010 | 1.25 | 0.74 |
| Dec 31, 2009 | 1.18 | 0.70 |
| Dec 31, 2008 | 1.29 | 0.90 |
| Dec 31, 2007 | 1.16 | 0.58 |
| Dec 31, 2006 | 1.11 | 1.02 |
| Dec 31, 2005 | 1.19 | 0.93 |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).