Polaris Industries Inc (PII)
Operating return on assets (Operating ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 290,600 | 700,900 | 804,500 | 709,000 | 587,300 |
| Total assets | US$ in thousands | 5,525,200 | 5,516,300 | 5,217,900 | 5,047,800 | 4,632,700 |
| Operating ROA | 5.26% | 12.71% | 15.42% | 14.05% | 12.68% |
December 31, 2024 calculation
Operating ROA = Operating income ÷ Total assets
= $290,600K ÷ $5,525,200K
= 5.26%
Polaris Industries Inc's operating return on assets (Operating ROA) has shown fluctuations over the years based on the provided data. In December 2020, the operating ROA stood at 12.68% and gradually increased to 15.42% by December 2022, indicating an improvement in the company's efficiency in generating operating income relative to its total assets.
However, in December 2023, the operating ROA declined slightly to 12.71% before experiencing a significant drop to 5.26% by December 2024. This downturn suggests a potential decrease in the company's operating income in relation to its total assets, which could be a concern for investors and stakeholders.
Overall, Polaris Industries Inc's operating ROA trend highlights the importance of monitoring and analyzing financial performance metrics regularly to assess the company's operational efficiency and profitability.