Skechers USA Inc (SKX)
Operating return on assets (Operating ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 784,786 | 546,670 | 598,187 | 133,684 | 518,443 |
| Total assets | US$ in thousands | 7,547,350 | 6,893,490 | 6,491,280 | 5,812,370 | 4,892,940 |
| Operating ROA | 10.40% | 7.93% | 9.22% | 2.30% | 10.60% |
December 31, 2023 calculation
Operating ROA = Operating income ÷ Total assets
= $784,786K ÷ $7,547,350K
= 10.40%
Skechers U S A, Inc.'s operating return on assets (ROA) has exhibited fluctuations over the past five years. The trend indicates variability in the company's efficiency in generating operating profits from its asset base.
In 2023, the operating ROA increased to 10.40% from 7.93% in 2022, showing improved operational efficiency in utilizing its assets to generate profit. This spike could be the result of enhanced operational performance, cost management strategies, or increased revenue generation.
Comparing the 2023 operating ROA to the 2019 figure of 10.14%, it appears that the company has managed to maintain a similar level of operating efficiency despite experiencing fluctuations in the intervening years.
The significant jump in operating ROA from 2020 (2.02%) to 2021 (8.83%) suggests a substantial improvement in profitability relative to the assets employed, indicating potential operational enhancements or cost optimizations during that period.
However, the decrease in operating ROA in 2022 compared to 2021 could signal a temporary setback in operational efficiency or profitability, which seems to have been rectified in 2023, leading to the improved performance.
Overall, Skechers U S A, Inc.'s operating ROA trend reflects varying levels of efficiency in utilizing its assets to generate operating profits over the past five years, with the most recent data showing a positive trajectory in operational profitability.
Peer comparison
Dec 31, 2023