Xpel Inc (XPEL)
Operating return on assets (Operating ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 66,972 | 53,937 | 40,116 | 23,370 | 17,087 |
| Total assets | US$ in thousands | 252,041 | 193,362 | 161,015 | 83,840 | 51,601 |
| Operating ROA | 26.57% | 27.89% | 24.91% | 27.87% | 33.11% |
December 31, 2023 calculation
Operating ROA = Operating income ÷ Total assets
= $66,972K ÷ $252,041K
= 26.57%
The operating return on assets (operating ROA) for XPEL Inc has shown some fluctuations over the past five years. The ratio was 26.57% as of December 31, 2023, slightly lower than the previous year's figure of 27.89%. This decline may indicate a potential decrease in the company's ability to generate operating income from its assets in the most recent period.
Comparing the 2023 figure to those of earlier years, we observe that the operating ROA was 24.91% as of December 31, 2021, then increased to 27.87% as of December 31, 2020, and was at its highest level of 33.11% as of December 31, 2019. These fluctuations suggest some variability in the company's efficiency in generating operating income relative to its assets over the years.
Overall, while the operating ROA for XPEL Inc has shown some variability, it is essential to further investigate the reasons behind these fluctuations to assess the company's operational efficiency and profitability over time.