Middleby Corp (MIDD)
Return on assets (ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 400,882 | 436,569 | 488,492 | 207,294 | 352,240 |
| Total assets | US$ in thousands | 6,906,690 | 6,874,870 | 6,383,600 | 5,202,470 | 5,002,140 |
| ROA | 5.80% | 6.35% | 7.65% | 3.98% | 7.04% |
December 31, 2023 calculation
ROA = Net income ÷ Total assets
= $400,882K ÷ $6,906,690K
= 5.80%
Middleby Corp's return on assets (ROA) has shown variability over the past five years. In 2023, the ROA decreased to 5.80% from 6.35% in 2022, indicating a decline in the company's ability to generate earnings relative to its total assets. This suggests that the company may be less efficient in utilizing its assets to generate profits compared to the previous year.
However, when compared to 2020, the ROA in 2023 is higher, indicating an improvement in asset utilization efficiency compared to that year. In 2021, Middleby Corp recorded a relatively high ROA of 7.65%, indicating a strong performance in generating earnings from its assets that year.
Overall, while there has been some fluctuation in Middleby Corp's ROA in recent years, the company has shown the ability to generate returns on its assets, with some years performing better than others. It is important for investors and stakeholders to monitor these trends to assess the company's operational efficiency and profitability.
Peer comparison
Dec 31, 2023