KAR Auction Services Inc (KAR)
Operating return on assets (Operating ROA)
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 277,900 | 256,300 | 249,600 | -900 | -5,200 | -1,100 | -17,600 | 199,200 | 147,500 | 131,500 | 124,800 | 169,100 | 210,600 | 179,000 | 222,100 | 150,800 | 136,400 | 184,100 | 183,400 | 278,700 |
| Total assets | US$ in thousands | 4,622,300 | 4,625,800 | 4,617,800 | 4,818,400 | 4,726,300 | 4,729,300 | 4,897,400 | 5,147,900 | 5,119,800 | 5,301,300 | 6,126,000 | 7,792,400 | 7,417,200 | 7,170,200 | 7,118,300 | 7,160,200 | 6,798,200 | 6,909,900 | 6,494,000 | 5,999,700 |
| Operating ROA | 6.01% | 5.54% | 5.41% | -0.02% | -0.11% | -0.02% | -0.36% | 3.87% | 2.88% | 2.48% | 2.04% | 2.17% | 2.84% | 2.50% | 3.12% | 2.11% | 2.01% | 2.66% | 2.82% | 4.65% |
December 31, 2024 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $277,900K ÷ $4,622,300K
= 6.01%
The operating return on assets (operating ROA) of KAR Auction Services Inc has shown fluctuations over the past few quarters. From March 31, 2020, to March 31, 2023, the operating ROA varied between 2.01% and 4.65%, indicating some level of stability in the company's ability to generate operating income relative to its total assets.
However, a notable decline was seen in the operating ROA for the quarters ending June 30, 2023, to December 31, 2023, where the values turned negative, suggesting that the company faced challenges in generating operating profits compared to its asset base during this period.
The trend reversed positively from March 31, 2024, with the operating ROA increasing significantly to reach 6.01% by December 31, 2024, indicating a rebound in the company's operational efficiency and profitability in utilizing its assets.
Overall, the company's operating ROA has demonstrated variability, with both positive and negative fluctuations. Investors and stakeholders may need to further analyze the underlying factors contributing to these fluctuations to assess the company's operational performance and efficiency.
Peer comparison
Dec 31, 2024