Shoe Carnival Inc (SCVL)
Return on assets (ROA)
| Feb 3, 2024 | Jan 28, 2023 | Jan 29, 2022 | Jan 30, 2021 | Feb 1, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 73,348 | 110,068 | 154,881 | 15,991 | 42,914 |
| Total assets | US$ in thousands | 1,042,020 | 989,781 | 812,264 | 642,747 | 628,374 |
| ROA | 7.04% | 11.12% | 19.07% | 2.49% | 6.83% |
February 3, 2024 calculation
ROA = Net income ÷ Total assets
= $73,348K ÷ $1,042,020K
= 7.04%
Shoe Carnival Inc's return on assets (ROA) has fluctuated over the past five years, ranging from 2.49% in fiscal year 2021 to 19.07% in fiscal year 2022. The ROA of 19.07% in fiscal year 2022 indicates that the company generated $0.19 in profit for every dollar of assets it owns. This high ROA suggests that the company efficiently utilizes its assets to generate profits.
However, in fiscal year 2021, the ROA dropped significantly to 2.49%, indicating a decrease in profitability relative to the size of its asset base. Despite this dip, the company managed to improve its ROA to 7.04% in fiscal year 2024, showing a recovery in its asset efficiency.
Overall, the fluctuation in Shoe Carnival Inc's ROA over the years suggests varying levels of asset utilization and profitability. It is crucial for the company to maintain or improve its ROA over time to ensure sustainable profitability and efficient use of its assets.
Peer comparison
Feb 3, 2024