Xpel Inc (XPEL)
Return on assets (ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 52,800 | 41,381 | 31,567 | 18,282 | 13,978 |
| Total assets | US$ in thousands | 252,041 | 193,362 | 161,015 | 83,840 | 51,601 |
| ROA | 20.95% | 21.40% | 19.61% | 21.81% | 27.09% |
December 31, 2023 calculation
ROA = Net income ÷ Total assets
= $52,800K ÷ $252,041K
= 20.95%
Based on the data provided, XPEL Inc's Return on Assets (ROA) has fluctuated over the past five years. The ROA for the company was 20.95% in 2023, 21.40% in 2022, 19.61% in 2021, 21.81% in 2020, and 27.09% in 2019.
The ROA measures the efficiency of a company in generating earnings from its assets. A higher ROA indicates that the company is utilizing its assets effectively to generate profits. XPEL Inc's ROA has shown a general positive trend over the period, with the highest ROA of 27.09% in 2019, which decreased slightly in subsequent years but remained relatively strong.
The decrease in ROA from 2019 to 2023 could be attributed to various factors such as changes in industry dynamics, economic conditions, or company-specific factors affecting profitability and asset utilization.
Overall, XPEL Inc has demonstrated a consistent ability to generate returns from its assets, albeit with some fluctuations. Further analysis, considering industry benchmarks and specific financial details, could provide deeper insights into the company's asset management efficiency and profitability.