PriceSmart Inc (PSMT)
Return on assets (ROA)
| Aug 31, 2024 | Aug 31, 2023 | Aug 31, 2022 | Aug 31, 2021 | Aug 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 138,875 | 109,205 | 104,534 | 97,963 | 78,109 |
| Total assets | US$ in thousands | 2,022,690 | 2,005,610 | 1,808,400 | 1,705,790 | 1,656,820 |
| ROA | 6.87% | 5.44% | 5.78% | 5.74% | 4.71% |
August 31, 2024 calculation
ROA = Net income ÷ Total assets
= $138,875K ÷ $2,022,690K
= 6.87%
PriceSmart Inc's return on assets (ROA) has shown a positive trend over the past five years, increasing from 4.71% in 2020 to 6.87% in 2024. This indicates that the company has been able to generate more income relative to its assets over time.
The ROA for 2024 of 6.87% indicates that PriceSmart Inc generated $0.0687 in net income for every dollar of assets it had. This suggests that the company is effectively utilizing its assets to generate profits.
Comparing PriceSmart Inc's ROA to its industry peers and historical data can provide further insights into the company's performance and efficiency in utilizing its assets to generate profits. consistently tracking and analyzing the ROA can help stakeholders evaluate the company's profitability and operational efficiency over time.
Peer comparison
Aug 31, 2024