Fastenal Company (FAST)
Return on assets (ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 1,155,000 | 1,086,900 | 925,000 | 859,100 | 790,900 |
| Total assets | US$ in thousands | 4,462,900 | 4,548,600 | 4,299,000 | 3,964,700 | 3,799,900 |
| ROA | 25.88% | 23.90% | 21.52% | 21.67% | 20.81% |
December 31, 2023 calculation
ROA = Net income ÷ Total assets
= $1,155,000K ÷ $4,462,900K
= 25.88%
Fastenal Co.'s return on assets (ROA) has shown a positive trend over the past five years, indicating the company's increasing efficiency in generating earnings relative to its total assets.
The ROA has consistently improved, reaching 25.88% at the end of 2023, a significant increase from 20.81% in 2019. This steady growth suggests effective asset management and utilization by the company.
The year-over-year increase in ROA showcases Fastenal Co.'s ability to generate higher profits relative to its total assets, reflecting favorable operational performance and financial strength.
Overall, the upward trajectory of Fastenal Co.'s ROA indicates a positive trend in the company's financial health and efficiency in utilizing its assets to generate profits.
Peer comparison
Dec 31, 2023