Kyndryl Holdings Inc (KD)
Return on assets (ROA)
| Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Dec 31, 2021 | Sep 30, 2021 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | -340,000 | -1,032,000 | -1,126,000 | -1,265,000 | -1,374,000 | -1,368,000 | -1,954,000 | |||
| Total assets | US$ in thousands | 10,590,000 | 10,969,000 | 10,602,000 | 10,986,000 | 11,464,000 | 11,851,000 | 11,629,000 | 12,304,000 | 13,213,000 | 12,063,000 |
| ROA | -3.21% | -9.41% | -10.62% | -11.51% | -11.99% | -11.54% | -16.80% |
March 31, 2024 calculation
ROA = Net income (ttm) ÷ Total assets
= $-340,000K ÷ $10,590,000K
= -3.21%
Kyndryl Holdings Inc's return on assets (ROA) has shown a declining trend over the past quarters, indicating decreasing efficiency in generating profits from its assets. The ROA was -3.21% as of March 31, 2024, which improved from the previous quarter but remained negative. This negative ROA suggests that the company is experiencing challenges in generating earnings relative to its total assets.
The performance in the latest quarter was an improvement compared to the ROA of -9.41% in December 2023 and the lowest point of -16.80% in September 2022. Despite the improvement in the latest quarter, the negative trend in ROA indicates that the company may be struggling to effectively utilize its assets to generate profits.
Investors and stakeholders may be concerned about Kyndryl Holdings Inc's ability to efficiently generate returns from its asset base, as a negative ROA signifies that the company is not effectively leveraging its resources to drive profitability. It is important for the company to assess its operational efficiency, asset management strategies, and overall financial performance to potentially reverse the declining trend in ROA and improve profitability in the future.
Peer comparison
Mar 31, 2024