Kontoor Brands Inc (KTB)

Operating return on assets (Operating ROA)

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Operating income	US$ in thousands	342,289	319,269	356,665	282,979	123,834
Total assets	US$ in thousands	1,650,540	1,645,440	1,582,260	1,533,020	1,545,820
Operating ROA		20.74%	19.40%	22.54%	18.46%	8.01%

December 31, 2024 calculation

Operating ROA = Operating income ÷ Total assets
= $342,289K ÷ $1,650,540K
= 20.74%

Kontoor Brands Inc's operating return on assets (operating ROA) has shown a positive trend over the years, increasing from 8.01% as of December 31, 2020, to 20.74% as of December 31, 2024. This improvement indicates that the company has become more efficient in generating operating income relative to its total assets. The steady growth in operating ROA reflects the company's ability to effectively utilize its assets to generate profits. However, it is important to note that the operating ROA dipped slightly in 2023 compared to the previous year, suggesting potential challenges or fluctuations in the company's operational performance. Overall, the increasing trend in operating ROA showcases Kontoor Brands Inc's improved operational efficiency and profitability over the years.