Kelly Services A Inc (KELYA)

Return on assets (ROA)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	US$ in thousands	36,400	-62,500	156,100	-72,000	112,400
Total assets	US$ in thousands	2,581,600	2,663,800	2,894,200	2,561,900	2,480,600
ROA		1.41%	-2.35%	5.39%	-2.81%	4.53%

December 31, 2023 calculation

ROA = Net income ÷ Total assets
= $36,400K ÷ $2,581,600K
= 1.41%

Based on the provided data, Kelly Services, Inc.'s return on assets (ROA) has fluctuated over the past five years. In 2023, the ROA improved to 1.38% from a negative ROA of -2.35% in 2022. This indicates that the company was more efficient in generating profit from its assets in 2023.

In 2022, the company experienced a significant decline in ROA to -2.35%, indicating that its assets were not effectively utilized to generate profit during that period. However, in 2021, the ROA was positive at 5.35%, suggesting improved asset utilization and profitability.

The ROA was negative in 2021 at -2.81% and in 2019 at -2.35%, indicating that the company faced challenges in generating profits from its assets during those years. However, in 2019, the ROA recovered to 4.49%, reflecting a more efficient use of assets.

Overall, Kelly Services, Inc.'s fluctuating ROA over the years suggests varying levels of asset efficiency and profitability. Management should focus on strategies to consistently improve the company's ROA to ensure sustainable profitability and value creation for its stakeholders.