Henry Schein Inc (HSIC)
Return on assets (ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 416,000 | 538,000 | 631,000 | 404,000 | 694,734 |
| Total assets | US$ in thousands | 10,573,000 | 8,607,000 | 8,481,000 | 7,773,000 | 7,151,100 |
| ROA | 3.93% | 6.25% | 7.44% | 5.20% | 9.72% |
December 31, 2023 calculation
ROA = Net income ÷ Total assets
= $416,000K ÷ $10,573,000K
= 3.93%
Henry Schein Inc's return on assets (ROA) has fluctuated over the past five years, ranging from a low of 3.93% in 2023 to a high of 9.72% in 2019. The ROA indicates the company's ability to generate profits relative to its total assets. A higher ROA suggests more effective asset utilization and profitability.
The decreasing trend in ROA from 2019 to 2023 may indicate challenges in generating profits from assets or declining asset efficiency. Further analysis is required to understand the factors contributing to this trend, such as changes in revenue, expenses, or asset management strategies.
It is essential for investors and management to monitor ROA closely as it reflects the company's efficiency in generating profits from its assets and provides insights into overall financial performance. Further investigation into the underlying causes of ROA changes can help identify areas for improvement and strategic decision-making.
Peer comparison
Dec 31, 2023