Wolverine World Wide Inc (WWW)
Return on assets (ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | -39,600 | -188,300 | 68,600 | -136,900 | 128,500 |
| Total assets | US$ in thousands | 2,062,800 | 2,492,700 | 2,586,400 | 2,137,400 | 2,480,000 |
| ROA | -1.92% | -7.55% | 2.65% | -6.40% | 5.18% |
December 31, 2023 calculation
ROA = Net income ÷ Total assets
= $-39,600K ÷ $2,062,800K
= -1.92%
Based on the data provided, Wolverine World Wide Inc's return on assets (ROA) has fluctuated over the past five years. In 2019, the company had a relatively high ROA of 5.18%, indicating that for every dollar of assets, the company generated a profit of 5.18 cents. However, this was followed by a significant decline in 2020, with a negative ROA of -6.40%, suggesting that the company experienced a loss relative to its assets.
The following year, in 2021, Wolverine World Wide Inc improved its ROA to 2.65%, indicating a recovery in asset efficiency and profitability. However, the positive trend was short-lived as the ROA plummeted to -7.55% in 2022, signifying a sharp decrease in profitability relative to its assets.
The most recent data for 2023 shows an ROA of -1.92%, indicating continued challenges in generating profits from its assets. Overall, Wolverine World Wide Inc's ROA performance has been volatile, reflecting fluctuations in the company's ability to effectively utilize its assets to generate earnings. Additional analysis and investigation would be required to understand the underlying factors driving these fluctuations and to assess the company's overall financial health and performance.
Peer comparison
Dec 31, 2023