Tootsie Roll Industries Inc (TR)
Return on assets (ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 91,912 | 75,937 | 65,326 | 58,995 | 64,920 |
| Total assets | US$ in thousands | 1,084,390 | 1,018,780 | 1,018,620 | 984,558 | 977,864 |
| ROA | 8.48% | 7.45% | 6.41% | 5.99% | 6.64% |
December 31, 2023 calculation
ROA = Net income ÷ Total assets
= $91,912K ÷ $1,084,390K
= 8.48%
Tootsie Roll Industries, Inc.'s return on assets (ROA) has shown an increasing trend over the past five years. The ROA increased from 6.64% in 2019 to 8.48% in 2023. This indicates that the company has been more efficient in generating profits from its assets over the years.
The improvement in ROA suggests that Tootsie Roll Industries, Inc. has been effective in managing its assets to generate higher returns for its shareholders. This could be a result of better utilization of resources, improved operational efficiency, or strategic investments that have yielded positive returns.
Overall, the increasing trend in ROA reflects positively on the company's performance and efficient use of assets to generate profits. Investors and stakeholders may view this as a sign of the company's financial health and operational effectiveness.
Peer comparison
Dec 31, 2023