AutoNation Inc (AN)

Operating return on assets (Operating ROA)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Operating income	US$ in thousands	1,651,900	2,024,500	1,902,800	563,200	823,600
Total assets	US$ in thousands	11,980,000	10,059,700	8,943,600	9,887,200	10,543,300
Operating ROA		13.79%	20.12%	21.28%	5.70%	7.81%

December 31, 2023 calculation

Operating ROA = Operating income ÷ Total assets
= $1,651,900K ÷ $11,980,000K
= 13.79%

Autonation Inc.'s operating return on assets (ROA) has fluctuated over the past five years. The highest operating ROA was observed in 2021 at 21.06%, indicating that the company generated $0.21 in operating income for every dollar of assets it utilized that year. Subsequently, in 2022, the operating ROA decreased slightly to 20.27%. However, in 2023, the operating ROA experienced a more significant decline to 13.84%. This suggests a potential decrease in the company's operational efficiency or profitability relative to its asset base in the most recent year. Overall, Autonation Inc.'s operating ROA has demonstrated variability, with positive performances in some years and lower returns in others. Investors and stakeholders may want to further investigate the factors influencing these fluctuations to assess the company's financial health and performance.