MSC Industrial Direct Company Inc (MSM)
Return on assets (ROA)
| Aug 31, 2024 | Sep 2, 2023 | Sep 3, 2022 | Aug 28, 2021 | Aug 29, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 258,594 | 343,233 | 339,786 | 216,907 | 251,117 |
| Total assets | US$ in thousands | 2,462,310 | 2,544,130 | 2,729,410 | 2,462,120 | 2,382,430 |
| ROA | 10.50% | 13.49% | 12.45% | 8.81% | 10.54% |
August 31, 2024 calculation
ROA = Net income ÷ Total assets
= $258,594K ÷ $2,462,310K
= 10.50%
The return on assets (ROA) of MSC Industrial Direct Company Inc has shown some fluctuations over the past five years. In 2024, the ROA was 10.50%, which indicates that the company generated a profit of 10.50 cents for every dollar of assets it possesses. This figure decreased from the previous year's 13.49%, suggesting a less efficient use of assets to generate earnings. However, the ROA in 2024 was still higher than in 2021 and 2020, indicating an improvement in asset utilization compared to those years.
Overall, the ROA trend for MSC Industrial Direct Company Inc demonstrates some variability but generally indicates a reasonably effective utilization of assets to generate profits, with fluctuations reflecting changes in the company's operational efficiency and profitability levels over the years.
Peer comparison
Aug 31, 2024