Visteon Corp (VC)
Return on assets (ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 486,000 | 124,000 | 41,000 | -56,000 | 70,000 |
| Total assets | US$ in thousands | 2,727,000 | 2,450,000 | 2,234,000 | 2,271,000 | 2,271,000 |
| ROA | 17.82% | 5.06% | 1.84% | -2.47% | 3.08% |
December 31, 2023 calculation
ROA = Net income ÷ Total assets
= $486,000K ÷ $2,727,000K
= 17.82%
Visteon Corp.'s return on assets (ROA) has shown a notable improvement over the past five years, reflecting the company's ability to generate profits from its assets. The ROA increased from a negative figure of -2.47% in 2020 to a positive 17.82% in 2023, indicating a significant turnaround in the company's asset utilization and profitability.
The steady improvement in ROA from 2019 to 2023 suggests that Visteon Corp. has been effectively managing its assets to generate higher returns for its shareholders. The company's ROA of 17.82% in 2023 is particularly impressive, indicating that for every dollar of assets, Visteon Corp. is generating $0.1782 in net income. This demonstrates the company's ability to efficiently utilize its assets to drive profitability.
Overall, the trend in Visteon Corp.'s ROA over the past five years reflects positive financial performance and efficient asset management, which bodes well for the company's financial health and future growth prospects.
Peer comparison
Dec 31, 2023