Xpel Inc (XPEL)
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 | 59,147 | 66,972 | 53,937 | 40,116 | 23,370 |
| Total assets | US$ in thousands | 285,607 | 252,041 | 193,362 | 161,015 | 83,840 |
| Operating ROA | 20.71% | 26.57% | 27.89% | 24.91% | 27.87% |
December 31, 2024 calculation
Operating ROA = Operating income ÷ Total assets
= $59,147K ÷ $285,607K
= 20.71%
Based on the provided data, the operating return on assets (operating ROA) for Xpel Inc has shown some fluctuations over the years.
In 2020, the operating ROA stood at 27.87%, indicating that the company generated $0.2787 in operating income for every dollar of assets it had. This level of efficiency decreased slightly to 24.91% in 2021 before rebounding to 27.89% in 2022, suggesting a temporary dip in profitability followed by a recovery.
However, in 2023, the operating ROA decreased to 26.57%, indicating a slight decline in the company's operating efficiency. By the end of 2024, the operating ROA decreased further to 20.71%, signaling a significant drop in profitability compared to the previous years.
Overall, the trend in Xpel Inc's operating ROA shows some variability, with periods of both improvement and decline in operating efficiency. It is important for the company to closely monitor its operating performance and asset utilization to maintain and enhance its profitability in the future.