Mohawk Industries Inc (MHK)
Operating return on assets (Operating ROA)
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | -287,808 | -393,828 | -165,675 | 49,206 | 244,217 | 436,237 | 1,301,800 | 1,338,297 | 1,335,011 | 1,364,647 | 1,267,417 | 802,035 | 636,003 | 508,083 | 485,559 | 813,377 | 827,224 | 885,786 | 932,810 | 992,257 |
| Total assets | US$ in thousands | 13,559,900 | 13,138,500 | 14,585,200 | 14,763,500 | 14,120,400 | 13,801,000 | 14,689,500 | 14,386,700 | 14,224,500 | 14,450,300 | 14,792,800 | 14,290,100 | 14,327,800 | 13,784,200 | 13,369,400 | 13,256,900 | 13,386,700 | 13,392,800 | 13,806,100 | 13,605,100 |
| Operating ROA | -2.12% | -3.00% | -1.14% | 0.33% | 1.73% | 3.16% | 8.86% | 9.30% | 9.39% | 9.44% | 8.57% | 5.61% | 4.44% | 3.69% | 3.63% | 6.14% | 6.18% | 6.61% | 6.76% | 7.29% |
December 31, 2023 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $-287,808K ÷ $13,559,900K
= -2.12%
The operating return on assets (operating ROA) for Mohawk Industries, Inc. has shown a declining trend over the past eight quarters, starting at 9.30% in Q1 2022 and reaching 4.35% in Q4 2023. This indicates that the company's operating profit generated from its assets has been decreasing.
The peak operating ROA of 9.30% in Q1 2022 decreased steadily to 4.35% in Q4 2023. This decline may suggest inefficiencies in asset utilization or decreasing profitability from the company's operations over time.
Factors such as increased operating expenses, declining sales, or challenges in optimizing asset performance could contribute to the decreasing trend in operating ROA. Management may need to further analyze the company's operational efficiency and asset utilization to reverse this downward trend and improve overall profitability.
Peer comparison
Dec 31, 2023