M/I Homes Inc (MHO)
Return on assets (ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 563,725 | 465,365 | 490,662 | 396,868 | 239,874 |
| Total assets | US$ in thousands | 4,549,800 | 4,022,440 | 3,714,920 | 3,239,850 | 2,643,040 |
| ROA | 12.39% | 11.57% | 13.21% | 12.25% | 9.08% |
December 31, 2024 calculation
ROA = Net income ÷ Total assets
= $563,725K ÷ $4,549,800K
= 12.39%
Analyzing the return on assets (ROA) of M/I Homes Inc over the past five years reveals a positive trend. The ROA has shown consistent improvement, increasing from 9.08% as of December 31, 2020, to 12.25% as of December 31, 2021, and further to 13.21% as of December 31, 2022. However, there was a slight dip in ROA to 11.57% as of December 31, 2023, before rebounding to 12.39% as of December 31, 2024.
This positive trend in ROA indicates that M/I Homes Inc has been generating higher returns from its assets over time, reflecting effective asset utilization and operational efficiency. The company's ability to improve its ROA suggests efficient management of its assets to generate profits, which can be a positive indicator of financial health and performance. It would be important to monitor future ROA trends to assess the sustainability of M/I Homes Inc's asset efficiency and profitability.
Peer comparison
Dec 31, 2024