World Kinect Corporation (WKC)
Operating return on assets (Operating 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 198,100 | 292,200 | 319,200 | 296,500 | 273,200 | 226,800 | 168,200 | 146,300 | 142,600 | 126,600 | 123,700 | 104,700 | 137,900 | 182,000 | 236,800 | 300,100 | 299,700 | 302,500 | 287,100 | 273,000 |
| Total assets | US$ in thousands | 7,375,300 | 7,483,100 | 6,961,900 | 7,485,800 | 8,164,600 | 7,970,300 | 8,795,700 | 7,968,000 | 5,942,400 | 5,544,300 | 5,249,800 | 4,925,400 | 4,500,300 | 4,392,300 | 4,881,000 | 5,498,900 | 5,992,400 | 5,797,500 | 5,751,200 | 5,733,200 |
| Operating ROA | 2.69% | 3.90% | 4.58% | 3.96% | 3.35% | 2.85% | 1.91% | 1.84% | 2.40% | 2.28% | 2.36% | 2.13% | 3.06% | 4.14% | 4.85% | 5.46% | 5.00% | 5.22% | 4.99% | 4.76% |
December 31, 2023 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $198,100K ÷ $7,375,300K
= 2.69%
World Kinect Corp's operating return on assets (operating ROA) has shown a positive trend over the past eight quarters, indicating increasing efficiency in generating operating profits relative to its total assets. In Q4 2023, the operating ROA was 3.23%, slightly lower than the previous quarter's 3.91%, but still higher than the levels seen in the earlier quarters. This suggests that the company is effectively utilizing its assets to generate operating income.
The highest operating ROA was recorded in Q2 2023 at 4.58%, indicating a peak in operational efficiency during that period. The company has generally seen an improvement in its operating ROA from Q1 2022 to Q4 2023, reflecting management's ability to control costs, increase revenues, and optimize asset utilization. Overall, the trend indicates a positive outlook for World Kinect Corp in terms of generating operating profits from its asset base.