AutoNation Inc (AN)
Return on assets (ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 692,200 | 1,021,100 | 1,377,400 | 1,373,000 | 381,600 |
| Total assets | US$ in thousands | 13,001,700 | 11,980,000 | 10,059,700 | 8,943,600 | 9,887,200 |
| ROA | 5.32% | 8.52% | 13.69% | 15.35% | 3.86% |
December 31, 2024 calculation
ROA = Net income ÷ Total assets
= $692,200K ÷ $13,001,700K
= 5.32%
AutoNation Inc's return on assets (ROA) has shown fluctuations over the years based on the data provided.
- As of December 31, 2020, AutoNation Inc had an ROA of 3.86%. This indicates that for every dollar of assets the company had, it generated a return of 3.86%.
- By December 31, 2021, the ROA had significantly increased to 15.35%. This suggests that the company improved its efficiency in generating profits from its assets.
- However, by December 31, 2022, the ROA decreased to 13.69%, although it remained relatively high compared to 2020.
- The trend continued with a further decline in ROA to 8.52% by December 31, 2023, indicating a decrease in profitability relative to the assets employed.
- As of December 31, 2024, AutoNation Inc's ROA dropped to 5.32%, suggesting a continued decline in profitability generated from its assets.
Overall, while the ROA has shown variability over the years, it is important for AutoNation Inc to closely monitor and manage its asset utilization to ensure sustainable profitability.
Peer comparison
Dec 31, 2024