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CenterPoint Energy (CenterPoint Energy) Asset Turnover

: 0.06 (As of Dec. 2023)
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Asset Turnover measures how quickly a company turns over its asset through sales. It is calculated as Revenue divided by Total Assets. CenterPoint Energy's Revenue for the three months ended in Dec. 2023 was $2,182 Mil. CenterPoint Energy's Total Assets for the quarter that ended in Dec. 2023 was $39,358 Mil. Therefore, CenterPoint Energy's Asset Turnover for the quarter that ended in Dec. 2023 was 0.06.

Asset Turnover is linked to ROE % through Du Pont Formula. CenterPoint Energy's annualized ROE % for the quarter that ended in Dec. 2023 was 7.98%. It is also linked to ROA % through Du Pont Formula. CenterPoint Energy's annualized ROA % for the quarter that ended in Dec. 2023 was 1.95%.


CenterPoint Energy Asset Turnover Historical Data

The historical data trend for CenterPoint Energy's Asset Turnover can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

CenterPoint Energy Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Asset Turnover
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.24 0.22 0.24 0.25 0.22

CenterPoint Energy Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Asset Turnover Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.07 0.07 0.05 0.05 0.06

Competitive Comparison

For the Utilities - Regulated Electric subindustry, CenterPoint Energy's Asset Turnover, along with its competitors' market caps and Asset Turnover data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


CenterPoint Energy Asset Turnover Distribution

For the Utilities - Regulated industry and Utilities sector, CenterPoint Energy's Asset Turnover distribution charts can be found below:

* The bar in red indicates where CenterPoint Energy's Asset Turnover falls into.



CenterPoint Energy Asset Turnover Calculation

Asset Turnover measures how quickly a company turns over its asset through sales.

CenterPoint Energy's Asset Turnover for the fiscal year that ended in Dec. 2023 is calculated as

Asset Turnover
=Revenue/Average Total Assets
=Revenue (A: Dec. 2023 )/( (Total Assets (A: Dec. 2022 )+Total Assets (A: Dec. 2023 ))/ count )
=8696/( (38546+39715)/ 2 )
=8696/39130.5
=0.22

CenterPoint Energy's Asset Turnover for the quarter that ended in Dec. 2023 is calculated as

Asset Turnover
=Revenue/Average Total Assets
=Revenue (Q: Dec. 2023 )/( (Total Assets (Q: Sep. 2023 )+Total Assets (Q: Dec. 2023 ))/ count )
=2182/( (39001+39715)/ 2 )
=2182/39358
=0.06

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Companies with low profit margins tend to have high Asset Turnover, while those with high profit margins have low Asset Turnover. Companies in the retail industry tend to have a very high turnover ratio.


CenterPoint Energy  (NYSE:CNP) Asset Turnover Explanation

Asset Turnover is linked to ROE % through Du Pont Formula.

CenterPoint Energy's annulized ROE % for the quarter that ended in Dec. 2023 is

ROE %**(Q: Dec. 2023 )
=Net Income/Total Stockholders Equity
=768/9626
=(Net Income / Revenue)*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(768 / 8728)*(8728 / 39358)*(39358/ 9626)
=Net Margin %*Asset Turnover*Equity Multiplier
=8.8 %*0.2218*4.0887
=ROA %*Equity Multiplier
=1.95 %*4.0887
=7.98 %

Note: The Net Income data used here is four times the quarterly (Dec. 2023) net income data. The Revenue data used here is four times the quarterly (Dec. 2023) revenue data.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

** The ROE % used above is for Du Pont Analysis only. It is different from the defined ROE % page on our website, as here it uses Net Income instead of Net Income attributable to Common Stockholders in the calculation.

It is also linked to ROA % through Du Pont Formula:

CenterPoint Energy's annulized ROA % for the quarter that ended in Dec. 2023 is

ROA %(Q: Dec. 2023 )
=Net Income/Total Assets
=768/39358
=(Net Income / Revenue)*(Revenue / Total Assets)
=(768 / 8728)*(8728 / 39358)
=Net Margin %*Asset Turnover
=8.8 %*0.2218
=1.95 %

Note: The Net Income data used here is four times the quarterly (Dec. 2023) net income data. The Revenue data used here is four times the quarterly (Dec. 2023) revenue data.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Be Aware

In the article Joining The Dark Side: Pirates, Spies and Short Sellers, James Montier reported that In their US sample covering the period 1968-2003, Cooper et al find that firms with low asset growth outperformed firms with high asset growth by an astounding 20% p.a. equally weighted. Even when controlling for market, size and style, low asset growth firms outperformed high asset growth firms by 13% p.a. Therefore a company with fast asset growth may underperform.

Therefore, it is a good sign if a company's Asset Turnover is consistent or even increases. If a company's asset grows faster than sales, its Asset Turnover will decline, which can be a warning sign.


CenterPoint Energy Asset Turnover Related Terms

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CenterPoint Energy (CenterPoint Energy) Business Description

Traded in Other Exchanges
Address
1111 Louisiana, Houston, TX, USA, 77002
CenterPoint Energy owns a portfolio of businesses. Its regulated electric utilities provide transmission and distribution services to more than 2.5 million customers in the Houston area, southern Indiana, and west central Ohio. The company has natural gas distribution systems in six states serving approximately 4 million customers.
Executives
Christopher A Foster officer: EVP and CFO 77 BEALE ST., P.O. BOX 770000, SAN FRANCISCO CA 94177
David J Lesar director, officer: President & CEO
Jason P. Wells officer: EVP & CFO 77 BEALE ST., P.O. BOX 770000, SAN FRANCISCO CA 94177
Kristie Colvin officer: SVP and CAO 1111 LOUISIANA, HOUSTON TX 77002
Ricky Anthony Raven director 1111 LOUISIANA STREEET, STE. 4600, HOUSTON TX 77002
Thaddeus J. Malik director 1111 LOUISIANA STREET, STE. 4600, HOUSTON TX 77002
Russell Keith Wright officer: VP, FP&A and Interim CAO 1111 LOUISIANA STREET, STE 4600, HOUSTON TX 77002
Barry T Smitherman director NRG ENERGY, INC., 804 CARNEGIE CENTER, PRINCETON NJ 08540
Ted Pound director C/O ALLIS-CHALMERS, 5075 WESTHIEMER, #890, HOUSTON TX 77056
Kara Gostenhofer Ryan officer: Vice President and CAO 1111 LOUISIANA STREET, # 4600, HOUSTON TX 77002
Martin H. Nesbitt director 10319 WESTLAKE DRIVE, SUITE 112, BETHESDA MD 20817
Wendolynn Montoya Cloonan director 1111 LOUISIANA STREET #4600, HOUSTON TX 77002
Wooten Lewis Raquelle director 1111 LOUISIANA STREET, #4600, HOUSTON TX 77002
Phillip R Smith director 1111 LOUISIANA, HOUSTON TX 77002
Earl M Cummings director 1111 LOUISIANA STREET #4600, HOUSTON TX 77002

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