RTO (Rentokil Initial) Asset Turnover: 0.25 (As of Dec. 2025)


RTO Rentokil Initial PLC RTO
88 GF Score
Price $29.00
GF Value $29.42
Valuation Fairly Valued
! 6 Warning Signs
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What is Rentokil Initial Asset Turnover?

Rentokil Initial RTO +2.29% 88 Asset Turnover is 0.25 as of Dec. 2025. GuruFocus rates RTO with a GF Score™ of 88/100 and a GF Value™ of $29.42 (Fairly Valued). The stock has 6 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. Rentokil Initial's Revenue for the six months ended in Dec. 2025 was $3,544 Mil. Rentokil Initial's Total Assets for the quarter that ended in Dec. 2025 was $14,334 Mil. Therefore, Rentokil Initial's Asset Turnover for the quarter that ended in Dec. 2025 was 0.25.

Asset Turnover is linked to ROE % through Du Pont Formula. Rentokil Initial's annualized ROE % for the quarter that ended in Dec. 2025 was 10.48%. It is also linked to ROA % through Du Pont Formula. Rentokil Initial's annualized ROA % for the quarter that ended in Dec. 2025 was 3.93%.


Rentokil Initial  (NYSE:RTO) Asset Turnover Explanation

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

Rentokil Initial's annulized ROE % for the quarter that ended in Dec. 2025 is

ROE %**(Q: Dec. 2025 )
=Net Income/Total Stockholders Equity
=564/5382.5
=(Net Income / Revenue)*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(564 / 7088)*(7088 / 14333.5)*(14333.5/ 5382.5)
=Net Margin %*Asset Turnover*Equity Multiplier
=7.96 %*0.4945*2.663
=ROA %*Equity Multiplier
=3.93 %*2.663
=10.48 %

Note: The Net Income data used here is two times the semi-annual (Dec. 2025) net income data. The Revenue data used here is two times the semi-annual (Dec. 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:

Rentokil Initial's annulized ROA % for the quarter that ended in Dec. 2025 is

ROA %(Q: Dec. 2025 )
=Net Income/Total Assets
=564/14333.5
=(Net Income / Revenue)*(Revenue / Total Assets)
=(564 / 7088)*(7088 / 14333.5)
=Net Margin %*Asset Turnover
=7.96 %*0.4945
=3.93 %

Note: The Net Income data used here is two times the semi-annual (Dec. 2025) net income data. The Revenue data used here is two times the semi-annual (Dec. 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.


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.


Rentokil Initial Asset Turnover Related Terms


Rentokil Initial Asset Turnover Historical Data

* Premium members only.

The historical data trend for Rentokil Initial'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.

Rentokil Initial Asset Turnover Chart

Rentokil Initial Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Asset Turnover
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.59 0.44 0.45 0.48 0.50

Rentokil Initial Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
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 0.22 0.23 0.24 0.25 0.25

RTO vs CTAS, CPRT, GPN: Asset Turnover Comparison

For the Specialty Business Services subindustry, Rentokil Initial'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.


Rentokil Initial Asset Turnover vs Business Services Industry

For the Business Services industry and Industrials sector, Rentokil Initial's Asset Turnover distribution charts can be found below:

* The bar in red indicates where Rentokil Initial's Asset Turnover falls into.


RTO
88GF Score
Rentokil Initial PLC RTO
Asset Turnover is just one metric. See GF Score™, valuation, warning signs, and more.
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Rentokil Initial Asset Turnover Calculation

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

Rentokil Initial's Asset Turnover for the fiscal year that ended in Dec. 2025 is calculated as

Asset Turnover
=Revenue/Average Total Assets
=Revenue (A: Dec. 2025 )/( (Total Assets (A: Dec. 2024 )+Total Assets (A: Dec. 2025 ))/ count )
=6908/( (13211+14434)/ 2 )
=6908/13822.5
=0.50

Rentokil Initial's Asset Turnover for the quarter that ended in Dec. 2025 is calculated as

Asset Turnover
=Revenue/Average Total Assets
=Revenue (Q: Dec. 2025 )/( (Total Assets (Q: Jun. 2025 )+Total Assets (Q: Dec. 2025 ))/ count )
=3544/( (14233+14434)/ 2 )
=3544/14333.5
=0.25

* 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.

Frequently Asked Questions Learn more about Asset Turnover →
What does a Asset Turnover of 0.25 mean?
Rentokil Initial (RTO) has a Asset Turnover of 0.25 as of Dec. 2025. Asset turnover equals current-period sales over average total assets over the past two periods. View historical data on Rentokil Initial and its competitors.
Is Rentokil Initial's Asset Turnover too high?
Rentokil Initial's current Asset Turnover is 0.25. Overall, Rentokil Initial has a GF Score™ of 88/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Rentokil Initial's Asset Turnover compare to CTAS and CPRT?
Rentokil Initial's Asset Turnover of 0.25 can be compared against companies in the Business Services 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 a Business Services company?
A good Asset Turnover depends on the Business Services 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 Rentokil Initial and its competitors. Rentokil Initial's current Asset Turnover is 0.25. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Rentokil Initial stock overvalued right now?
Based on GuruFocus' analysis, Rentokil Initial (RTO) is currently considered Fairly Valued. The stock's GF Value™ is $29.42, compared to a current price of $29.00 — trading 1.4% below its estimated fair value. The current Asset Turnover is 0.25. Rentokil Initial's overall GF Score™ is 88/100 with 6 warning signs to review. 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 Rentokil Initial (RTO), the current Asset Turnover is 0.25 as of Dec. 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.

Is Rentokil Initial (RTO) Overvalued in 2026?

Based on GuruFocus' analysis, Rentokil Initial stock appears to be undervalued. The current stock price of $29.00 is trading 1.4% below its estimated GF Value™ of $29.42. GuruFocus considers Rentokil Initial to be Fairly Valued.

Key valuation signals for RTO:

  • Asset Turnover: 0.25
  • GF Value™: $29.42 vs. price of $29.00 (1.4% below fair value)
  • GF Score™: 88/100 with 6 warning signs

No single metric tells the full story. See the RTO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Rentokil Initial Business Description

Address Manor Royal, Compass House, Crawley, West Sussex, GBR, RH10 9PY
Rentokil Initial is the largest global provider of route-based pest control and commercial hygiene services, operating in over 90 countries, with its largest operations in the United States following the acquisition of Terminix. The group also offers a range of specialist route-based services, including office and commercial space plant care, property care, and workwear rentals. The group serves a diverse client base of global food producers, hotel chains, industrial goods companies, restaurants, and individual residential customers.
88GF Score

Get the complete analysis for RTO

Asset Turnover is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$29.00
Price
$29.42
GF Value