Verra Mobility Corp (VRRM)
Return on assets (ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 31,448 | 57,015 | 92,475 | 41,449 | -3,445 |
| Total assets | US$ in thousands | 1,614,490 | 1,789,980 | 1,756,270 | 1,837,060 | 1,367,320 |
| ROA | 1.95% | 3.19% | 5.27% | 2.26% | -0.25% |
December 31, 2024 calculation
ROA = Net income ÷ Total assets
= $31,448K ÷ $1,614,490K
= 1.95%
The return on assets (ROA) of Verra Mobility Corp has shown variability over the years as follows:
- As of December 31, 2020, the ROA was negative at -0.25% indicating a loss in generating earnings from its assets.
- By December 31, 2021, the ROA improved significantly to 2.26%, suggesting better profitability in utilizing its assets.
- The trend continued positively in the following years with ROA reaching 5.27% by December 31, 2022, indicating a substantial increase in asset efficiency.
- However, there was a slight decline in ROA to 3.19% by December 31, 2023, indicating a reduced profitability in utilizing assets compared to the previous year.
- By December 31, 2024, the ROA dropped further to 1.95%, highlighting a decrease in the company's ability to generate earnings from its assets compared to the previous year.
In conclusion, Verra Mobility Corp's ROA has experienced fluctuations over the years, with notable improvements in some periods and declines in others. Efforts to sustain and enhance asset efficiency may be needed to ensure consistent profitability.
Peer comparison
Dec 31, 2024