Valmont Industries Inc (VMI)
Return on assets (ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 150,849 | 433,249 | 195,630 | 140,693 | 153,769 |
| Total assets | US$ in thousands | 3,477,450 | 3,557,000 | 3,447,250 | 2,953,160 | 2,807,220 |
| ROA | 4.34% | 12.18% | 5.67% | 4.76% | 5.48% |
December 31, 2023 calculation
ROA = Net income ÷ Total assets
= $150,849K ÷ $3,477,450K
= 4.34%
Valmont Industries Inc's return on assets (ROA) has fluctuated over the past five years. The ROA was 4.34% as of December 31, 2023, a significant decrease from the 12.18% reported in 2022. This substantial decline suggests a decline in the company's ability to generate profits from its assets compared to the previous year. The ROA of 5.67% in 2021 showed an improvement from 2020's 4.76%, indicating increased efficiency in asset utilization. However, the 2019 ROA of 5.48% was slightly lower than in 2021, suggesting a slight decline in asset profitability.
Overall, the trend in Valmont Industries Inc's ROA indicates some variability in the company's ability to generate profits relative to its assets. Further analysis of the company's financial performance and asset management strategies may be warranted to understand the factors contributing to these fluctuations in ROA.
Peer comparison
Dec 31, 2023