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IHS Markit Asset Turnover

: 0.07 (As of Aug. 2021)
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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. IHS Markit's Revenue for the three months ended in Aug. 2021 was $1,181 Mil. IHS Markit's Total Assets for the quarter that ended in Aug. 2021 was $16,546 Mil. Therefore, IHS Markit's Asset Turnover for the quarter that ended in Aug. 2021 was 0.07.

Asset Turnover is linked to ROE % through Du Pont Formula. IHS Markit's annualized ROE % for the quarter that ended in Aug. 2021 was 7.24%. It is also linked to ROA % through Du Pont Formula. IHS Markit's annualized ROA % for the quarter that ended in Aug. 2021 was 3.90%.


IHS Markit Asset Turnover Historical Data

The historical data trend for IHS Markit'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.

IHS Markit Annual Data
Trend Nov11 Nov12 Nov13 Nov14 Nov15 Nov16 Nov17 Nov18 Nov19 Nov20
Asset Turnover
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.28 0.25 0.26 0.28 0.27

IHS Markit Quarterly Data
Nov16 Feb17 May17 Aug17 Nov17 Feb18 May18 Aug18 Nov18 Feb19 May19 Aug19 Nov19 Feb20 May20 Aug20 Nov20 Feb21 May21 Aug21
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 0.07 0.07 0.07

IHS Markit Asset Turnover Calculation

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

IHS Markit's Asset Turnover for the fiscal year that ended in Nov. 2020 is calculated as

Asset Turnover
=Revenue/Average Total Assets
=Revenue (A: Nov. 2020 )/( (Total Assets (A: Nov. 2019 )+Total Assets (A: Nov. 2020 ))/ count )
=4287.8/( (16087.2+16135.2)/ 2 )
=4287.8/16111.2
=0.27

IHS Markit's Asset Turnover for the quarter that ended in Aug. 2021 is calculated as

Asset Turnover
=Revenue/Average Total Assets
=Revenue (Q: Aug. 2021 )/( (Total Assets (Q: May. 2021 )+Total Assets (Q: Aug. 2021 ))/ count )
=1180.5/( (16594.6+16496.5)/ 2 )
=1180.5/16545.55
=0.07

* 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.


IHS Markit  (NYSE:INFO) Asset Turnover Explanation

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

IHS Markit's annulized ROE % for the quarter that ended in Aug. 2021 is

ROE %**(Q: Aug. 2021 )
=Net Income/Total Stockholders Equity
=645.2/8911.85
=(Net Income / Revenue)*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(645.2 / 4722)*(4722 / 16545.55)*(16545.55/ 8911.85)
=Net Margin %*Asset Turnover*Equity Multiplier
=13.66 %*0.2854*1.8566
=ROA %*Equity Multiplier
=3.90 %*1.8566
=7.24 %

Note: The Net Income data used here is four times the quarterly (Aug. 2021) net income data. The Revenue data used here is four times the quarterly (Aug. 2021) 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:

IHS Markit's annulized ROA % for the quarter that ended in Aug. 2021 is

ROA %(Q: Aug. 2021 )
=Net Income/Total Assets
=645.2/16545.55
=(Net Income / Revenue)*(Revenue / Total Assets)
=(645.2 / 4722)*(4722 / 16545.55)
=Net Margin %*Asset Turnover
=13.66 %*0.2854
=3.90 %

Note: The Net Income data used here is four times the quarterly (Aug. 2021) net income data. The Revenue data used here is four times the quarterly (Aug. 2021) 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.


IHS Markit Asset Turnover Related Terms

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IHS Markit Business Description

IHS Markit logo
Industry
Industrials » Business Services NAICS : 561499 SIC : 7389
Traded in Other Exchanges
Address
25 Ropemaker Street, 4th Floor, Ropemaker Place, London, GBR, EC2Y 9LY
IHS Markit is a leading provider of data and analytics to corporate and sovereign clients across a wide variety of industries. Financial markets accounted for 42% of fiscal 2020 revenue, transportation 27%, resources (energy and chemicals) 20%, and CMS (consolidated markets) 11%. Approximately 60% of fiscal 2020 revenue came from the United States. IHS Markit has approximately 16,000 employees worldwide. About 74% of fiscal 2020 revenue was recurring and fixed, 14% recurring and variable, and 12% non-recurring. S&P Global has offered to acquire IHS Markit, with holders of the target firm set to receive 0.2838 shares of the combined entity (a little less than one third of the total), in a deal valued at $44 billion upon announcement.

IHS Markit Headlines

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