ROYL (Royale Energy) Asset Turnover: 0.04 (As of Sep. 2025)

What is Royale Energy Asset Turnover?

Royale Energy ROYL +2.69% Asset Turnover is 0.04 as of Sep. 2025. The stock has 3 warning signs investors should review.

Asset Turnover measures how quickly a company turns over its asset through sales. It is calculated as Revenue divided by Total Assets. Royale Energy's Revenue for the three months ended in Sep. 2025 was $0.59 Mil. Royale Energy's Total Assets for the quarter that ended in Sep. 2025 was $14.92 Mil. Therefore, Royale Energy's Asset Turnover for the quarter that ended in Sep. 2025 was 0.04.

Asset Turnover is linked to ROE % through Du Pont Formula. Royale Energy's annualized ROE % for the quarter that ended in Sep. 2025 was 16.05%. It is also linked to ROA % through Du Pont Formula. Royale Energy's annualized ROA % for the quarter that ended in Sep. 2025 was -14.75%.

Royale Energy (OTCPK:ROYL) Asset Turnover Explanation

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

Royale Energy's annulized ROE % for the quarter that ended in Sep. 2025 is

	ROE %^**		(Q: Sep. 2025 )
=	Net Income	/	Total Stockholders Equity
=	-2.2	/	-13.705
=	(Net Income / Revenue)	*	(Revenue / Total Assets)	*	(Total Assets / Total Stockholders Equity)
=	(-2.2 / 2.36)	*	(2.36 / 14.9155)	*	(14.9155/ -13.705)
=	Net Margin %	*	Asset Turnover	*	Equity Multiplier
=	-93.22 %	*	0.1582	*	-1.0883
=	ROA %	*	Equity Multiplier
=	-14.75 %	*	-1.0883
=	16.05 %

Note: The Net Income data used here is four times the quarterly (Sep. 2025) net income data. The Revenue data used here is four times the quarterly (Sep. 2025) 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:

Royale Energy's annulized ROA % for the quarter that ended in Sep. 2025 is

	ROA %		(Q: Sep. 2025 )
=	Net Income	/	Total Assets
=	-2.2	/	14.9155
=	(Net Income / Revenue)	*	(Revenue / Total Assets)
=	(-2.2 / 2.36)	*	(2.36 / 14.9155)
=	Net Margin %	*	Asset Turnover
=	-93.22 %	*	0.1582
=	-14.75 %

Note: The Net Income data used here is four times the quarterly (Sep. 2025) net income data. The Revenue data used here is four times the quarterly (Sep. 2025) revenue data.

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.

Royale Energy Asset Turnover Related Terms

Royale Energy Asset Turnover Historical Data

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

Royale Energy Asset Turnover Chart

Royale Energy Annual Data

Trend

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Dec24

Asset Turnover

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0.11

0.18

0.23

0.18

0.16

Royale Energy Quarterly Data
	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24	Jun24	Sep24	Dec24	Mar25	Jun25	Sep25
Asset Turnover	Get a 7-Day Free Trial															0.04	0.03	0.03	0.02	0.04

ROYL vs GULTU, HGTXU, MTR: Asset Turnover Comparison

For the Oil & Gas E&P subindustry, Royale 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.

Royale Energy Asset Turnover vs Oil & Gas Industry

For the Oil & Gas industry and Energy sector, Royale Energy's Asset Turnover distribution charts can be found below:

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

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Royale Energy Asset Turnover Calculation

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

Royale Energy'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 )
=	2.227	/	( (12.915	+	15.64)	/ 2 )
=	2.227	/	14.2775
=	0.16

Royale Energy's Asset Turnover for the quarter that ended in Sep. 2025 is calculated as

	Asset Turnover
=	Revenue	/	Average Total Assets
=	Revenue (Q: Sep. 2025 )	/	( (Total Assets (Q: Jun. 2025 )	+	Total Assets (Q: Sep. 2025 ))	/ count )
=	0.59	/	( (14.444	+	15.387)	/ 2 )
=	0.59	/	14.9155
=	0.04

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.

Frequently Asked Questions Learn more about Asset Turnover →

What does a Asset Turnover of 0.04 mean?

Royale Energy (ROYL) has a Asset Turnover of 0.04 as of Sep. 2025. Asset turnover equals current-period sales over average total assets over the past two periods. View historical data on Royale Energy and its competitors.

Is Royale Energy's Asset Turnover too high?

Royale Energy's current Asset Turnover is 0.04.

How does Royale Energy's Asset Turnover compare to GULTU and HGTXU?

Royale Energy's Asset Turnover of 0.04 can be compared against companies in the Oil & Gas industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.

What is a good Asset Turnover for an Oil & Gas company?

A good Asset Turnover depends on the Oil & Gas industry context. However, Asset Turnover should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.

What does a high Asset Turnover mean?

A high Asset Turnover can signal that a stock is expensive relative to its fundamentals. Asset turnover equals current-period sales over average total assets over the past two periods. View historical data on Royale Energy and its competitors. Royale Energy's current Asset Turnover is 0.04. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is Royale Energy stock overvalued right now?

Based on GuruFocus' analysis, Royale Energy (ROYL) is currently considered Significantly Overvalued. The stock's GF Value™ is $0.03, compared to a current price of $0.10 — trading 218.3% above its estimated fair value. The current Asset Turnover is 0.04. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.

How is Asset Turnover calculated?

Asset Turnover is calculated from a company's financial statements. For Royale Energy (ROYL), the current Asset Turnover is 0.04 as of Sep. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Royale Energy Business Description

Industry Energy Oil & Gas

Comparable Companies GULTU HGTXU MTR OKMN TPET ALTX BRN CRCE NRIS FECOF HKSE:00883 COP TSX:CNQ EOG OXY FANG DVN ASX:WDS EQT TPL

Address 1530 Hilton Head Road, Suite 205, El Cajon, CA, USA, 92019

Website https://www.royl.com

Royale Energy Inc is an independent oil and natural gas producer. The company's business includes the production and sale of oil and natural gas, acquisition of oil and gas lease interests and proved reserves, drilling of both exploratory and development wells, and sales of fractional working interests in wells to be drilled by Royale. Its wells and leases are located in the Sacramento Basin and San Joaquin Basin in California as well as in Utah, Texas, Oklahoma, and Louisiana.