Werner Enterprises Inc (WERN)
Operating return on assets (Operating ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 66,148 | 176,416 | 44,496 | 42,421 | -34,377 |
| Total assets | US$ in thousands | 3,052,240 | 3,157,940 | 3,097,260 | 2,589,920 | 2,156,680 |
| Operating ROA | 2.17% | 5.59% | 1.44% | 1.64% | -1.59% |
December 31, 2024 calculation
Operating ROA = Operating income ÷ Total assets
= $66,148K ÷ $3,052,240K
= 2.17%
The operating return on assets (operating ROA) of Werner Enterprises Inc has shown some variability over the past five years. The company's operating ROA was -1.59% as of December 31, 2020, indicating a negative return on its assets. However, there appears to have been a significant improvement in performance as the operating ROA increased to 1.64% by December 31, 2021, and further to 1.44% by December 31, 2022.
A more notable improvement can be seen in the operating ROA for December 31, 2023, which surged to 5.59%, indicating a significant increase in the company's ability to generate operating income from its assets. However, this improvement was slightly tempered as the operating ROA decreased to 2.17% by December 31, 2024.
Overall, the trend in Werner Enterprises Inc's operating ROA indicates fluctuations in the company's efficiency in generating operating income relative to its assets over the five-year period, with notable improvements in certain years offset by declines in others. It would be essential for the company to continue monitoring and improving its asset utilization and operational efficiency to maintain sustainable and positive returns.
Peer comparison
Dec 31, 2024