KAR Auction Services Inc (KAR)
Return on assets (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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 109,900 | 71,900 | 56,200 | -148,300 | -154,100 | -131,300 | -143,500 | 44,900 | 23,800 | -8,200 | -9,700 | 7,200 | 66,500 | 44,300 | 92,400 | 48,600 | 500 | 37,400 | 25,600 | 113,500 |
| 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 |
| ROA | 2.38% | 1.55% | 1.22% | -3.08% | -3.26% | -2.78% | -2.93% | 0.87% | 0.46% | -0.15% | -0.16% | 0.09% | 0.90% | 0.62% | 1.30% | 0.68% | 0.01% | 0.54% | 0.39% | 1.89% |
December 31, 2024 calculation
ROA = Net income (ttm) ÷ Total assets
= $109,900K ÷ $4,622,300K
= 2.38%
ROA, or Return on Assets, is a financial ratio that indicates a company's ability to generate profit from its assets.
For KAR Auction Services Inc, the ROA showed fluctuating trends over the analyzed period. It started at a relatively healthy level of 1.89% as of March 31, 2020, but then experienced a decline to 0.39% by June 30, 2020. The ratio improved slightly to 0.54% by September 30, 2020, before dropping significantly to 0.01% by the end of December 31, 2020.
From March 31, 2021, the ROA showed signs of recovery, increasing to 0.68% and further to 1.30% by June 30, 2021. The ratio fluctuated in the following quarters, showing peaks and troughs. Notably, the ROA turned negative in the second half of 2022, indicating challenges in generating profits relative to assets during that period.
Signs of improvement in ROA were seen in the later periods, with values of 2.38% recorded by December 31, 2024, suggesting that the company was able to enhance its profitability relative to its asset base.
Overall, the ROA of KAR Auction Services Inc exhibited variability over the analyzed period, reflecting the company's changing efficiency in generating profits from its assets. It is important for stakeholders to monitor this ratio to assess the company's performance and effectiveness in utilizing its asset base.
Peer comparison
Dec 31, 2024