Steven Madden Ltd (SHOO)
Return on assets (ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 173,975 | 217,217 | 192,459 | -18,397 | 141,311 |
| Total assets | US$ in thousands | 1,347,940 | 1,257,990 | 1,355,540 | 1,137,760 | 1,278,650 |
| ROA | 12.91% | 17.27% | 14.20% | -1.62% | 11.05% |
December 31, 2023 calculation
ROA = Net income ÷ Total assets
= $173,975K ÷ $1,347,940K
= 12.91%
Steven Madden Ltd.'s return on assets (ROA) has fluctuated over the past five years, reflecting changes in its efficiency in generating profits from its asset base. The ROA was negative in 2020, indicating that the company had a net loss for that year in relation to its total assets. However, the company improved significantly in subsequent years, achieving ROA figures above 10%.
The highest ROA was recorded in 2022 at 17.18%, signaling a strong ability to generate earnings relative to its total assets. In contrast, the ROA decreased in 2023 to 12.73%, which may suggest a slight decline in the company's profitability compared to the prior year.
Overall, Steven Madden Ltd. has shown a positive trend in ROA in recent years, with the exception of 2020. This performance indicates that the company has been effectively utilizing its assets to generate profitability, although there may be potential areas for improvement to enhance its efficiency in generating returns.
Peer comparison
Dec 31, 2023