Patrick Industries Inc (PATK)

Return on assets (ROA)

Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Net income US$ in thousands 142,897 328,196 224,915 97,061 89,566
Total assets US$ in thousands 2,562,450 2,782,470 2,650,730 1,753,440 1,470,990
ROA 5.58% 11.80% 8.49% 5.54% 6.09%

December 31, 2023 calculation

ROA = Net income ÷ Total assets
= $142,897K ÷ $2,562,450K
= 5.58%

The Return on Assets (ROA) of Patrick Industries, Inc. has exhibited some fluctuations over the past five years. The ROA was 5.58% in 2023, a decrease from 11.80% in 2022 but higher than 8.49% in 2021, 5.54% in 2020, and 6.09% in 2019. This indicates that in 2023, the company generated a profit of 5.58 cents for every dollar of assets it had.

The decreasing trend from 2022 to 2023 may raise some concerns as it suggests a decline in the company's efficiency in generating profits from its assets. It is worth further investigation to understand the reasons behind this decline and whether it indicates a potential issue with asset utilization or profitability.

Overall, while the ROA of Patrick Industries, Inc. has fluctuated over the years, it is essential for investors and stakeholders to closely monitor this metric to assess the company's ability to generate profits relative to its asset base.


Peer comparison

Dec 31, 2023