Tyler Technologies Inc (TYL)
Return on assets (ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 263,026 | 165,919 | 164,240 | 161,458 | 194,820 |
| Total assets | US$ in thousands | 5,180,020 | 4,676,660 | 4,687,420 | 4,732,160 | 2,607,270 |
| ROA | 5.08% | 3.55% | 3.50% | 3.41% | 7.47% |
December 31, 2024 calculation
ROA = Net income ÷ Total assets
= $263,026K ÷ $5,180,020K
= 5.08%
Tyler Technologies Inc's return on assets (ROA) has shown some fluctuations over the five-year period from December 31, 2020, to December 31, 2024. In 2020, the ROA was relatively high at 7.47%, indicating that the company was generating $0.0747 in net income for every $1 of assets. However, there was a noticeable decrease in ROA in the following years, with 3.41% in 2021, 3.50% in 2022, and 3.55% in 2023, signaling a decline in profitability relative to its asset base.
The ROA saw a slight improvement in 2024, reaching 5.08%, which suggests that the company was able to generate higher earnings from its assets compared to the previous year. Despite the improvement, it is essential for Tyler Technologies Inc to monitor and improve its ROA over the long term to ensure efficient utilization of its assets and maximization of shareholder value.
Peer comparison
Dec 31, 2024