Werner Enterprises Inc (WERN)

Return on assets (ROA)

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Net income (ttm)	US$ in thousands	112,382	148,975	180,322	222,731	241,256	257,857	266,567	266,309	259,052	242,841	225,412	192,512	169,078	157,018	149,730	153,916	166,944	173,011	181,481	176,427
Total assets	US$ in thousands	3,157,940	3,194,460	3,105,190	3,116,320	3,097,260	2,859,130	2,848,590	2,649,030	2,603,710	2,479,140	2,382,870	2,229,530	2,156,680	2,140,140	2,079,710	2,088,900	2,143,860	2,163,540	2,128,620	2,118,830
ROA		3.56%	4.66%	5.81%	7.15%	7.79%	9.02%	9.36%	10.05%	9.95%	9.80%	9.46%	8.63%	7.84%	7.34%	7.20%	7.37%	7.79%	8.00%	8.53%	8.33%

December 31, 2023 calculation

ROA = Net income (ttm) ÷ Total assets
= $112,382K ÷ $3,157,940K
= 3.56%

Based on the data provided, Werner Enterprises, Inc.'s return on assets (ROA) has exhibited a declining trend over the past several quarters. The ROA decreased from 10.05% in Q1 2022 to 3.56% in Q4 2023. This decline indicates that the company's ability to generate profits from its assets has been decreasing over time.

It is important to note that a decreasing ROA may signal inefficiencies in asset utilization or declining profitability. Management should closely monitor the factors contributing to this trend and take necessary actions to improve the company's overall performance.

Furthermore, investors and stakeholders should consider the declining ROA in their evaluation of Werner Enterprises, Inc.'s financial health and operational efficiency. The company may need to focus on optimizing its asset management strategies to enhance profitability and long-term sustainability.