Total Asset Turnover
since 2005
Calculation
Raytheon Co., total asset turnover, long-term trends, calculation
| Total asset turnover | = | Net sales1 | ÷ | Total assets1 | |
|---|---|---|---|---|---|
| Dec 31, 2019 | 0.84 | = | 29,176) | ÷ | 34,566) |
| Dec 31, 2018 | 0.85 | = | 27,058) | ÷ | 31,864) |
| Dec 31, 2017 | 0.82 | = | 25,348) | ÷ | 30,860) |
| Dec 31, 2016 | 0.80 | = | 24,069) | ÷ | 30,052) |
| Dec 31, 2015 | 0.79 | = | 23,247) | ÷ | 29,281) |
| Dec 31, 2014 | 0.82 | = | 22,826) | ÷ | 27,900) |
| Dec 31, 2013 | 0.91 | = | 23,706) | ÷ | 25,967) |
| Dec 31, 2012 | 0.91 | = | 24,414) | ÷ | 26,686) |
| Dec 31, 2011 | 0.96 | = | 24,857) | ÷ | 25,854) |
| Dec 31, 2010 | 1.03 | = | 25,183) | ÷ | 24,422) |
| Dec 31, 2009 | 1.05 | = | 24,881) | ÷ | 23,607) |
| Dec 31, 2008 | 0.99 | = | 23,174) | ÷ | 23,296) |
| Dec 31, 2007 | 0.91 | = | 21,301) | ÷ | 23,281) |
| Dec 31, 2006 | 0.80 | = | 20,291) | ÷ | 25,491) |
| Dec 31, 2005 | 0.90 | = | 21,894) | ÷ | 24,381) |
Based on: 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 millions
The analysis of total asset turnover from 2005 to 2019 reveals a fluctuating efficiency in asset utilization, characterized by an initial period of improvement followed by a prolonged decline and eventual stabilization.
- Asset Utilization Trends
- Total asset turnover peaked in 2009 at 1.05, marking the highest efficiency in generating sales from the asset base during the observed period. This peak was driven by a period where net sales increased to 24,881 million US$ while total assets were maintained at 23,607 million US$. Conversely, the lowest efficiency was recorded in 2015, with a ratio of 0.79.
- Relationship Between Sales and Asset Growth
- A divergence between asset growth and sales growth is evident between 2010 and 2015. During this window, total assets rose from 24,422 million US$ to 29,281 million US$, while net sales remained relatively flat, fluctuating between 22,826 million US$ and 25,183 million US$. This imbalance contributed to the sustained decrease in the turnover ratio, as the asset base expanded more rapidly than the revenue it generated.
- Recent Performance and Stabilization
- From 2016 to 2019, a modest recovery in asset efficiency is observed, with the ratio moving from 0.80 to 0.84. This improvement corresponds with a significant acceleration in net sales, which grew from 24,069 million US$ in 2016 to 29,176 million US$ by 2019, effectively offsetting the continued increase in total assets to 34,566 million US$.
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Comparison to Competitors
Raytheon Co., total asset turnover, long-term trends, comparison to competitors
| Raytheon Co. | Boeing Co. | Caterpillar Inc. | Eaton Corp. plc | GE Aerospace | Honeywell International Inc. | Lockheed Martin Corp. | RTX Corp. | |
|---|---|---|---|---|---|---|---|---|
| Dec 31, 2019 | 0.84 | 0.57 | 0.65 | 0.65 | 0.33 | 0.63 | 1.26 | 0.55 |
| Dec 31, 2018 | 0.85 | 0.86 | 0.66 | 0.70 | 0.37 | 0.72 | 1.20 | 0.50 |
| Dec 31, 2017 | 0.82 | 1.01 | 0.55 | 0.63 | 0.30 | 0.68 | 1.10 | 0.62 |
| Dec 31, 2016 | 0.80 | 1.05 | 0.48 | 0.65 | 0.30 | 0.73 | 0.99 | 0.64 |
| Dec 31, 2015 | 0.79 | 1.02 | 0.56 | 0.67 | 0.21 | 0.78 | 0.94 | 0.64 |
| Dec 31, 2014 | 0.82 | 0.91 | 0.62 | 0.67 | 0.16 | 0.89 | 1.23 | 0.71 |
| Dec 31, 2013 | 0.91 | 0.93 | 0.62 | 0.62 | 0.15 | 0.86 | 1.25 | 0.69 |
| Dec 31, 2012 | 0.91 | 0.92 | 0.71 | 0.46 | 0.15 | 0.90 | 1.22 | 0.65 |
| Dec 31, 2011 | 0.96 | 0.86 | 0.70 | 0.90 | 0.13 | 0.92 | 1.23 | 0.95 |
| Dec 31, 2010 | 1.03 | 0.94 | 0.62 | 0.79 | 0.13 | 0.88 | 1.31 | 0.93 |
| Dec 31, 2009 | 1.05 | 1.10 | 0.49 | 0.73 | 0.13 | 0.86 | 1.29 | 0.94 |
| Dec 31, 2008 | 0.99 | 1.13 | 0.71 | 0.92 | 0.14 | 1.03 | 1.28 | 1.03 |
| Dec 31, 2007 | 0.91 | 1.13 | 0.75 | 0.97 | 0.13 | 1.02 | 1.45 | 0.99 |
| Dec 31, 2006 | 0.80 | 1.19 | 0.76 | 1.08 | 0.14 | 1.01 | 1.40 | 1.00 |
| Dec 31, 2005 | 0.90 | 0.91 | 0.72 | 1.09 | 0.14 | 0.86 | 1.34 | 0.92 |
Based on: 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 (Capital Goods)
Raytheon Co., total asset turnover, long-term trends, comparison to sector (capital goods)
| Raytheon Co. | Capital Goods | |
|---|---|---|
| Dec 31, 2019 | 0.84 | 0.54 |
| Dec 31, 2018 | 0.85 | 0.58 |
| Dec 31, 2017 | 0.82 | 0.54 |
| Dec 31, 2016 | 0.80 | 0.54 |
| Dec 31, 2015 | 0.79 | 0.46 |
| Dec 31, 2014 | 0.82 | 0.41 |
| Dec 31, 2013 | 0.91 | 0.39 |
| Dec 31, 2012 | 0.91 | 0.38 |
| Dec 31, 2011 | 0.96 | 0.36 |
| Dec 31, 2010 | 1.03 | 0.34 |
| Dec 31, 2009 | 1.05 | 0.33 |
| Dec 31, 2008 | 0.99 | 0.35 |
| Dec 31, 2007 | 0.91 | 0.34 |
| Dec 31, 2006 | 0.80 | 0.36 |
| Dec 31, 2005 | 0.90 | 0.33 |
Based on: 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 (Industrials)
Raytheon Co., total asset turnover, long-term trends, comparison to industry (industrials)
| Raytheon Co. | Industrials | |
|---|---|---|
| Dec 31, 2019 | 0.84 | 0.62 |
| Dec 31, 2018 | 0.85 | 0.67 |
| Dec 31, 2017 | 0.82 | 0.62 |
| Dec 31, 2016 | 0.80 | 0.61 |
| Dec 31, 2015 | 0.79 | 0.54 |
| Dec 31, 2014 | 0.82 | 0.49 |
| Dec 31, 2013 | 0.91 | 0.47 |
| Dec 31, 2012 | 0.91 | 0.46 |
| Dec 31, 2011 | 0.96 | 0.45 |
| Dec 31, 2010 | 1.03 | 0.41 |
| Dec 31, 2009 | 1.05 | 0.39 |
| Dec 31, 2008 | 0.99 | 0.43 |
| Dec 31, 2007 | 0.91 | 0.41 |
| Dec 31, 2006 | 0.80 | 0.43 |
| Dec 31, 2005 | 0.90 | 0.40 |
Based on: 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).