United Rentals Inc (URI)
Return on assets (ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 2,424,000 | 2,105,000 | 1,386,000 | 890,000 | 1,174,000 |
| Total assets | US$ in thousands | 25,589,000 | 24,183,000 | 20,292,000 | 17,868,000 | 18,970,000 |
| ROA | 9.47% | 8.70% | 6.83% | 4.98% | 6.19% |
December 31, 2023 calculation
ROA = Net income ÷ Total assets
= $2,424,000K ÷ $25,589,000K
= 9.47%
United Rentals, Inc.'s return on assets (ROA) has shown a positive trend over the past five years, increasing from 6.19% in 2019 to 9.47% in 2023. This indicates that the company has been able to generate higher profits relative to its total assets over this period. The upward trend suggests that management has been effectively utilizing the company's assets to generate earnings. This could be attributed to efficient asset management, improved operational efficiency, or strategic investments. Overall, the increasing ROA reflects positively on United Rentals, Inc.'s financial performance and operational effectiveness.
Peer comparison
Dec 31, 2023