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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. InterDigital's Revenue for the three months ended in Dec. 2024 was $252.8 Mil. InterDigital's Total Assets for the quarter that ended in Dec. 2024 was $1,780.4 Mil. Therefore, InterDigital's Asset Turnover for the quarter that ended in Dec. 2024 was 0.14.
Asset Turnover is linked to ROE % through Du Pont Formula. InterDigital's annualized ROE % for the quarter that ended in Dec. 2024 was 67.41%. It is also linked to ROA % through Du Pont Formula. InterDigital's annualized ROA % for the quarter that ended in Dec. 2024 was 29.90%.
The historical data trend for InterDigital'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.
InterDigital Annual Data | |||||||||||||||||||||
Trend | Dec15 | Dec16 | Dec17 | Dec18 | Dec19 | Dec20 | Dec21 | Dec22 | Dec23 | Dec24 | |||||||||||
Asset Turnover | Get a 7-Day Free Trial |
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0.22 | 0.26 | 0.26 | 0.30 | 0.48 |
InterDigital Quarterly Data | ||||||||||||||||||||
Mar20 | Jun20 | Sep20 | Dec20 | Mar21 | Jun21 | Sep21 | Dec21 | Mar22 | Jun22 | Sep22 | Dec22 | Mar23 | Jun23 | Sep23 | Dec23 | Mar24 | Jun24 | Sep24 | Dec24 | |
Asset Turnover | Get a 7-Day Free Trial |
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0.06 | 0.15 | 0.13 | 0.08 | 0.14 |
For the Software - Application subindustry, InterDigital'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.
For the Software industry and Technology sector, InterDigital's Asset Turnover distribution charts can be found below:
* The bar in red indicates where InterDigital's Asset Turnover falls into.
Asset Turnover measures how quickly a company turns over its asset through sales.
InterDigital's Asset Turnover for the fiscal year that ended in Dec. 2024 is calculated as
Asset Turnover | ||||||
= | Revenue | / | Average Total Assets | |||
= | Revenue (A: Dec. 2024 ) | / | ( (Total Assets (A: Dec. 2023 ) | + | Total Assets (A: Dec. 2024 )) | / count ) |
= | 868.516 | / | ( (1770.814 | + | 1835.529) | / 2 ) |
= | 868.516 | / | 1803.1715 | |||
= | 0.48 |
InterDigital's Asset Turnover for the quarter that ended in Dec. 2024 is calculated as
Asset Turnover | ||||||
= | Revenue | / | Average Total Assets | |||
= | Revenue (Q: Dec. 2024 ) | / | ( (Total Assets (Q: Sep. 2024 ) | + | Total Assets (Q: Dec. 2024 )) | / count ) |
= | 252.802 | / | ( (1725.35 | + | 1835.529) | / 2 ) |
= | 252.802 | / | 1780.4395 | |||
= | 0.14 |
* 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.
InterDigital (NAS:IDCC) Asset Turnover Explanation
Asset Turnover is linked to ROE % through Du Pont Formula.
InterDigital's annulized ROE % for the quarter that ended in Dec. 2024 is
ROE %** | (Q: Dec. 2024 ) | ||||
= | Net Income | / | Total Stockholders Equity | ||
= | 532.432 | / | 789.876 | ||
= | (Net Income / Revenue) | * | (Revenue / Total Assets) | * | (Total Assets / Total Stockholders Equity) |
= | (532.432 / 1011.208) | * | (1011.208 / 1780.4395) | * | (1780.4395/ 789.876) |
= | Net Margin % | * | Asset Turnover | * | Equity Multiplier |
= | 52.65 % | * | 0.568 | * | 2.2541 |
= | ROA % | * | Equity Multiplier | ||
= | 29.90 % | * | 2.2541 | ||
= | 67.41 % |
Note: The Net Income data used here is four times the quarterly (Dec. 2024) net income data. The Revenue data used here is four times the quarterly (Dec. 2024) 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:
InterDigital's annulized ROA % for the quarter that ended in Dec. 2024 is
ROA % | (Q: Dec. 2024 ) | ||
= | Net Income | / | Total Assets |
= | 532.432 | / | 1780.4395 |
= | (Net Income / Revenue) | * | (Revenue / Total Assets) |
= | (532.432 / 1011.208) | * | (1011.208 / 1780.4395) |
= | Net Margin % | * | Asset Turnover |
= | 52.65 % | * | 0.568 |
= | 29.90 % |
Note: The Net Income data used here is four times the quarterly (Dec. 2024) net income data. The Revenue data used here is four times the quarterly (Dec. 2024) 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.
Thank you for viewing the detailed overview of InterDigital's Asset Turnover provided by GuruFocus.com. Please click on the following links to see related term pages.
Rajesh Pankaj | officer: Chief Technology Officer | 200 BELLEVUE PARKWAY, SUITE 300, WILMINGTON DE 19809 |
Eeva K. Hakoranta | officer: Chief Licensing Officer | 200 BELLEVUE PARKWAY, SUITE 300, WILMINGTON DE 19809 |
Joshua D. Schmidt | officer: CLO & Corp Sec | 200 BELLEVUE PARKWAY, SUITE 300, WILMINGTON DE 19809 |
Jean F Rankin | director | 1110 AMERICAN PARKWAY NE, ALLENTOWN PA 18109 |
Richard Brezski | officer: Chief Accounting Officer | 781 THIRD AVENUE, KING OF PRUSSIA PA 19406-1409 |
Lawrence Liren Chen | director, officer: President and CEO | 200 BELLEVUE PARKWAY, SUITE 300, WILMINGTON DE 19809 |
Stewart D Hutcheson | director | 5887 COPLEY DRIVE, SAN DIEGO CA 92111 |
John A Kritzmacher | director | C/O GLOBAL CROSSING LIMITED, 200 PARK AVENUE, SUITE 300, FLORHAM PARK NJ 07932 |
Derek K Aberle | director | 5775 MOREHOUSE DRIVE, SAN DIEGO CA 92121 |
Markley John D. Jr. | director | COLUMBIA CAPITAL, 201 NORTH UNION STREET, SUITE VA 22314 |
Samir Armaly | director | C/O XPERI HOLDING CORPORATION, 3025 ORCHARD PARKWAY, SAN JOSE CA 95134 |
Pierre-yves Lesaicherre | director | C/O INTERDIGITAL, INC., 200 BELLEVUE PKWY, STE 300, WILMINGTON DE 19809 |
Eric Cohen | officer: Chief Strategy& Growth Officer | 5220 LAS VIRGENES ROAD, CALABASAS CA 91302 |
Henry Tirri | officer: Chief Technology Officer | 400 ATLANTIC STREET, SUITE 1500, STAMFORD CT 06901 |
Joan H Gillman | director | C/O AIRGAIN, INC., 3611 VALLEY CENTRE DRIVE, SUITE 150, SAN DIEGO CA 92130 |
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