Mohawk Industries Inc (MHK)
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 | -287,808 | 244,217 | 1,335,010 | 636,002 | 827,224 |
| Total assets | US$ in thousands | 13,559,900 | 14,120,400 | 14,224,500 | 14,327,800 | 13,386,700 |
| Operating ROA | -2.12% | 1.73% | 9.39% | 4.44% | 6.18% |
December 31, 2023 calculation
Operating ROA = Operating income ÷ Total assets
= $-287,808K ÷ $13,559,900K
= -2.12%
The operating return on assets (operating ROA) for Mohawk Industries, Inc. has fluctuated over the past five years. In 2023, the operating ROA decreased to 4.35% from 6.66% in 2022. This represents a significant decline in the company's ability to generate operating profits from its assets. Comparing 2023 to 2021, there was a considerable drop in operating ROA from 9.39% to 4.35%, indicating a substantial decrease in efficiency in utilizing assets to generate operating income. However, looking back to 2020 and 2019, the operating ROA has shown some variability, with values of 4.44% and 6.18% respectively.
Overall, the trend in Mohawk Industries' operating ROA suggests some inconsistency in the company's operational performance and asset utilization efficiency over the past five years. Further analysis and investigation into the factors influencing these fluctuations in operating ROA may be necessary to better understand the company's financial performance and prospects.
Peer comparison
Dec 31, 2023