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TRW Automotive Holdings (FRA:TQT) Asset Turnover : 0.39 (As of Mar. 2015)


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What is TRW Automotive Holdings Asset Turnover?

Asset Turnover measures how quickly a company turns over its asset through sales. It is calculated as Revenue divided by Total Assets. TRW Automotive Holdings's Revenue for the three months ended in Mar. 2015 was €3,827 Mil. TRW Automotive Holdings's Total Assets for the quarter that ended in Mar. 2015 was €9,792 Mil. Therefore, TRW Automotive Holdings's Asset Turnover for the quarter that ended in Mar. 2015 was 0.39.

Asset Turnover is linked to ROE % through Du Pont Formula. TRW Automotive Holdings's annualized ROE % for the quarter that ended in Mar. 2015 was 39.22%. It is also linked to ROA % through Du Pont Formula. TRW Automotive Holdings's annualized ROA % for the quarter that ended in Mar. 2015 was 13.81%.


TRW Automotive Holdings Asset Turnover Historical Data

The historical data trend for TRW Automotive Holdings'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.

TRW Automotive Holdings Asset Turnover Chart

TRW Automotive Holdings Annual Data
Trend Dec05 Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14
Asset Turnover
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.67 1.67 1.56 1.48 1.57

TRW Automotive Holdings Quarterly Data
Jun10 Sep10 Dec10 Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15
Asset Turnover Get a 7-Day Free Trial 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 0.37 0.38 0.35 0.38 0.39

Competitive Comparison of TRW Automotive Holdings's Asset Turnover

For the Auto Parts subindustry, TRW Automotive Holdings'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.


TRW Automotive Holdings's Asset Turnover Distribution in the Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, TRW Automotive Holdings's Asset Turnover distribution charts can be found below:

* The bar in red indicates where TRW Automotive Holdings's Asset Turnover falls into.



TRW Automotive Holdings Asset Turnover Calculation

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

TRW Automotive Holdings's Asset Turnover for the fiscal year that ended in Dec. 2014 is calculated as

Asset Turnover
=Revenue/Average Total Assets
=Revenue (A: Dec. 2014 )/( (Total Assets (A: Dec. 2013 )+Total Assets (A: Dec. 2014 ))/ count )
=14224.129/( (8943.96+9159.434)/ 2 )
=14224.129/9051.697
=1.57

TRW Automotive Holdings's Asset Turnover for the quarter that ended in Mar. 2015 is calculated as

Asset Turnover
=Revenue/Average Total Assets
=Revenue (Q: Mar. 2015 )/( (Total Assets (Q: Dec. 2014 )+Total Assets (Q: Mar. 2015 ))/ count )
=3827.208/( (9159.434+10424.568)/ 2 )
=3827.208/9792.001
=0.39

* 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.


TRW Automotive Holdings  (FRA:TQT) Asset Turnover Explanation

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

TRW Automotive Holdings's annulized ROE % for the quarter that ended in Mar. 2015 is

ROE %**(Q: Mar. 2015 )
=Net Income/Total Stockholders Equity
=1352.736/3448.897
=(Net Income / Revenue)*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(1352.736 / 15308.832)*(15308.832 / 9792.001)*(9792.001/ 3448.897)
=Net Margin %*Asset Turnover*Equity Multiplier
=8.84 %*1.5634*2.8392
=ROA %*Equity Multiplier
=13.81 %*2.8392
=39.22 %

Note: The Net Income data used here is four times the quarterly (Mar. 2015) net income data. The Revenue data used here is four times the quarterly (Mar. 2015) 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:

TRW Automotive Holdings's annulized ROA % for the quarter that ended in Mar. 2015 is

ROA %(Q: Mar. 2015 )
=Net Income/Total Assets
=1352.736/9792.001
=(Net Income / Revenue)*(Revenue / Total Assets)
=(1352.736 / 15308.832)*(15308.832 / 9792.001)
=Net Margin %*Asset Turnover
=8.84 %*1.5634
=13.81 %

Note: The Net Income data used here is four times the quarterly (Mar. 2015) net income data. The Revenue data used here is four times the quarterly (Mar. 2015) 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.


TRW Automotive Holdings Asset Turnover Related Terms

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TRW Automotive Holdings (FRA:TQT) Business Description

Traded in Other Exchanges
N/A
Address
TRW Automotive Holdings Corp is a Delaware corporation formed in 2002. The Company is a supplier of automotive systems, modules and components to automotive original equipment manufacturers and related aftermarkets. It conducts substantially all of its operations through subsidiaries. These operations encompass the design, manufacture and sale of active and passive safety related products and systems. Active safety related products and systems principally refer to vehicle dynamic controls (braking and steering) and electronics (driver assistance systems), and passive safety related products and systems principally refer to occupant restraints (airbags and seat belts) and electronics (airbag electronic control units, and crash and occupant weight sensors). It operates its business in four segments: Chassis Systems, Occupant Safety Systems, Electronics and Automotive Components. The Chassis Systems segment focuses on the design, manufacture and sale of products and systems relating to braking, steering, modules, and linkage and suspension. It sells its Chassis Systems products and systems to OEMs and other Tier 1 suppliers. The Occupant Safety Systems segment focuses on the design, manufacture and sale of products and systems relating to airbags, seat belts, and steering wheels. It sells its Occupant Safety Systems products and systems to OEMs and other Tier 1 suppliers. It also sells these products and systems to OEM service organizations. The Electronics segment focuses on the design, manufacture and sale of electronics components and systems in the areas of safety, chassis, radio frequency, powertrain, and driver assistance systems, including cameras and radars. It sells its Electronics products and systems to OEMs and to its Chassis Systems segment (braking and steering applications). It also sells these products and systems to OEM service organizations. The Automotive Components segment focuses on the design, manufacture and sale of body controls, engine valves, and engineered fasteners and components. It sells its Automotive Components products to OEMs and other Tier 1 suppliers, and to certain non-automotive markets and customers. It also sells these products to OEM service organizations. In addition, it sells some engine valve and body control products to independent distributors for the automotive aftermarket. The Company's principal competitors include Advics, Bosch, Continental, JTEKT, Nexteer and ZF in the Chassis Systems segment; Autoliv, Key Safety, and Takata in the Occupant Safety Systems segment; Autoliv, Bosch, Continental, Delphi, Denso, and Magna in the Electronics segment; and Delphi, Eaton, ITW, Kostal, Nifco, Raymond, Tokai Rika, and Valeo in the Automotive Components segment. Its operations are subject to a variety of federal, state, local and international laws and regulations which may have a direct or indirect effect on its business.

TRW Automotive Holdings (FRA:TQT) Headlines

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