Grand Canyon Education Inc (LOPE)

Return on assets (ROA)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	US$ in thousands	204,985	184,675	260,344	257,196	259,175
Total assets	US$ in thousands	930,463	832,749	1,222,740	1,844,580	1,690,290
ROA		22.03%	22.18%	21.29%	13.94%	15.33%

December 31, 2023 calculation

ROA = Net income ÷ Total assets
= $204,985K ÷ $930,463K
= 22.03%

Grand Canyon Education Inc's return on assets (ROA) has demonstrated a positive trend over the past five years, increasing from 15.33% in 2019 to 22.03% in 2023. This indicates that the company has been able to generate more earnings relative to its total assets each year.

A higher ROA suggests that Grand Canyon Education Inc is effectively utilizing its assets to generate profits, which is a positive indicator of efficiency and profitability. The company's ability to consistently improve its ROA indicates strong asset management and operational performance.

It is important to note that the fluctuations in ROA over the years may be influenced by various factors such as changes in the company's revenue, costs, and asset base. Overall, the increasing trend in ROA reflects positively on Grand Canyon Education Inc's ability to generate returns from its assets and suggests sound financial health and performance.