Rush Enterprises A Inc (RUSHA)

Return on assets (ROA)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	US$ in thousands	347,055	391,382	241,415	114,887	141,583
Total assets	US$ in thousands	4,364,240	3,821,070	3,119,980	2,985,390	3,407,330
ROA		7.95%	10.24%	7.74%	3.85%	4.16%

December 31, 2023 calculation

ROA = Net income ÷ Total assets
= $347,055K ÷ $4,364,240K
= 7.95%

Rush Enterprises A Inc's return on assets (ROA) has fluctuated over the past five years, indicating varying levels of efficiency in generating profits relative to its total assets. The ROA was 7.95% in 2023, down from 10.24% in 2022 but higher than in 2021 and 2020. This suggests that the company's profitability in relation to its asset base decreased in 2023 compared to the previous year. However, the ROA in 2023 still exceeds the levels recorded in 2020 and 2019, indicating an improvement in asset utilization efficiency over the long term. The trend in ROA reflects management's ability to effectively deploy the company's assets to generate profits, with 2022 being a particularly strong year in this regard. Overall, further analysis of the company's financial performance and asset management strategies would be beneficial to assess the sustainability and drivers of its ROA levels.