Kirby Corporation (KEX)
Return on assets (ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 286,707 | 222,935 | 122,291 | -246,771 | -271,592 |
| Total assets | US$ in thousands | 5,851,950 | 5,722,200 | 5,554,920 | 5,399,060 | 5,924,170 |
| ROA | 4.90% | 3.90% | 2.20% | -4.57% | -4.58% |
December 31, 2024 calculation
ROA = Net income ÷ Total assets
= $286,707K ÷ $5,851,950K
= 4.90%
Based on the data provided, Kirby Corporation's return on assets (ROA) has shown a significant improvement over the years. As of December 31, 2020, the ROA was at -4.58%, indicating that the company's assets were not efficiently generating profits. However, by December 31, 2024, the ROA had increased to 4.90%, reflecting a positive trend in utilizing assets to generate returns.
This improvement in ROA over the years suggests that Kirby Corporation has been able to enhance its operational efficiency and profitability. A rising ROA indicates that the company is effectively managing its assets to generate higher returns, which is a positive indicator of financial health and performance.
It is important for Kirby Corporation to sustain this positive trend in ROA to ensure continued success and profitability in the future. By consistently improving asset utilization and generating higher returns, the company can enhance shareholder value and position itself for long-term growth.
Peer comparison
Dec 31, 2024