Meritage Corporation (MTH)

Return on assets (ROA)

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	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
Net income (ttm)	US$ in thousands	786,186	812,388	838,182	793,463	738,748	802,262	842,991	906,239	992,192	967,287	905,550	822,855	737,444	652,511	560,877	484,166	423,475	374,562	335,253	295,403
Total assets	US$ in thousands	7,162,650	7,103,450	6,923,980	6,489,300	6,353,130	6,181,870	6,065,640	5,871,150	5,772,100	5,571,090	5,307,720	5,058,160	4,807,530	4,565,450	4,321,550	4,038,420	3,864,400	3,687,320	3,541,730	3,914,460
ROA		10.98%	11.44%	12.11%	12.23%	11.63%	12.98%	13.90%	15.44%	17.19%	17.36%	17.06%	16.27%	15.34%	14.29%	12.98%	11.99%	10.96%	10.16%	9.47%	7.55%

December 31, 2024 calculation

ROA = Net income (ttm) ÷ Total assets
= $786,186K ÷ $7,162,650K
= 10.98%

Meritage Corporation's return on assets (ROA) has shown a generally positive trend over the period from March 31, 2020, to December 31, 2024. The ROA percentage increased from 7.55% on March 31, 2020, to a peak of 17.36% on September 30, 2022. This indicates that the company was able to generate higher profits relative to its assets during this period.

However, after reaching its peak, Meritage Corporation's ROA started to trend downwards. The ROA percentage declined to 10.98% by December 31, 2024. This decrease suggests that the company may have experienced challenges in maintaining or increasing its profitability in relation to its assets in the latter part of the analyzed period.

Overall, Meritage Corporation's ROA fluctuated over the years, indicating variations in the efficiency of the company in generating profits from its assets. Analyzing the factors contributing to these fluctuations could provide insights into the company's financial performance and help in evaluating its overall asset utilization effectiveness.