The Equity Turnover Ratio is a financial metric that measures how effectively a construction company is utilizing its shareholders' equity to generate revenue. It is calculated by dividing the company's total revenue by its shareholders' equity. A high equity turnover ratio indicates that the company is efficiently using its equity to generate sales, while a low ratio may suggest that the company is not effectively utilizing its equity.In the context of construction, a high equity turnover ratio can indicate that the company is effectively managing its resources and projects, resulting in higher revenues. This can be a positive sign for investors and lenders, as it shows that the company is able to generate a strong return on investment. On the other hand, a low equity turnover ratio may indicate that the company is not efficiently