Kelly Services A Inc (KELYA)

Operating return on assets (Operating ROA)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Operating income	US$ in thousands	24,300	14,800	48,600	-93,600	81,800
Total assets	US$ in thousands	2,581,600	2,663,800	2,894,200	2,561,900	2,480,600
Operating ROA		0.94%	0.56%	1.68%	-3.65%	3.30%

December 31, 2023 calculation

Operating ROA = Operating income ÷ Total assets
= $24,300K ÷ $2,581,600K
= 0.94%

The operating return on assets (operating ROA) of Kelly Services, Inc. has exhibited fluctuations over the past five years. In 2023, the operating ROA decreased to 1.03% from 2.56% in the previous year. This decline may indicate a reduction in the company's operating efficiency in generating profit from its assets compared to the prior year. However, it is important to note that the operating ROA of 1.03% is still positive, suggesting that the company is able to generate operating income from its assets, albeit at a lower rate.

Comparing 2023 to 2021 and 2020, where the operating ROA was 1.68% and 0.86% respectively, the current operating ROA of 1.03% falls in between these two figures. This indicates that Kelly Services, Inc. has seen varying levels of operational performance efficiency over the past few years.

The highest operating ROA of 3.44% was recorded in 2019, indicating a peak in the company's ability to generate operating income from its assets. It is worth noting that this high point in 2019 may have been an outlier or a particularly strong performance year for the company.

Overall, the trend in Kelly Services, Inc.'s operating ROA reflects fluctuations in the company's operational efficiency and profitability in relation to its asset base over the past five years. Further analysis of the company's operational strategies and performance drivers may provide insights into the factors influencing these fluctuations in operating ROA.