Titan International Inc (TWI)

Return on assets (ROA)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	US$ in thousands	78,760	176,302	49,586	-60,388	-48,425
Total assets	US$ in thousands	1,289,240	1,284,630	1,182,680	1,031,880	1,114,310
ROA		6.11%	13.72%	4.19%	-5.85%	-4.35%

December 31, 2023 calculation

ROA = Net income ÷ Total assets
= $78,760K ÷ $1,289,240K
= 6.11%

Titan International, Inc.'s return on assets (ROA) has fluctuated over the past five years. In 2023, the ROA stood at 6.11%, which represents a decrease from the previous year's 13.72%. Despite this decrease, the current ROA is still positive, indicating that the company is generating profits from its assets.

The significant improvement in ROA from 2020 to 2022, where it increased from -5.85% to 13.72%, suggests that Titan International, Inc. has effectively utilized its assets to generate higher returns during this period.

On the other hand, the negative ROA in 2020 and 2019 (-5.85% and -4.52% respectively) indicates that the company was not efficiently utilizing its assets to generate profits during those years, resulting in a loss on assets.

Overall, the trend in ROA for Titan International, Inc. indicates variability in the company's ability to generate returns from its assets, with improvements seen in recent years, although some past years have shown negative returns. The company may need to focus on consistently enhancing its asset utilization to maintain positive ROA figures in the future.