Return on Assets (ROA)
since 2005
Calculation
Kimberly-Clark Corp., ROA, long-term trends, calculation
| ROA | = | 100 | × | Net income attributable to Kimberly-Clark Corporation1 | ÷ | Total assets1 | |
|---|---|---|---|---|---|---|---|
| Dec 31, 2020 | 13.42% | = | 100 | × | 2,352) | ÷ | 17,523) |
| Dec 31, 2019 | 14.11% | = | 100 | × | 2,157) | ÷ | 15,283) |
| Dec 31, 2018 | 9.71% | = | 100 | × | 1,410) | ÷ | 14,518) |
| Dec 31, 2017 | 15.04% | = | 100 | × | 2,278) | ÷ | 15,151) |
| Dec 31, 2016 | 14.83% | = | 100 | × | 2,166) | ÷ | 14,602) |
| Dec 31, 2015 | 6.83% | = | 100 | × | 1,013) | ÷ | 14,842) |
| Dec 31, 2014 | 9.83% | = | 100 | × | 1,526) | ÷ | 15,526) |
| Dec 31, 2013 | 11.32% | = | 100 | × | 2,142) | ÷ | 18,919) |
| Dec 31, 2012 | 8.81% | = | 100 | × | 1,750) | ÷ | 19,873) |
| Dec 31, 2011 | 8.21% | = | 100 | × | 1,591) | ÷ | 19,373) |
| Dec 31, 2010 | 9.28% | = | 100 | × | 1,843) | ÷ | 19,864) |
| Dec 31, 2009 | 9.81% | = | 100 | × | 1,884) | ÷ | 19,209) |
| Dec 31, 2008 | 9.34% | = | 100 | × | 1,690) | ÷ | 18,089) |
| Dec 31, 2007 | 9.89% | = | 100 | × | 1,823) | ÷ | 18,440) |
| Dec 31, 2006 | 8.79% | = | 100 | × | 1,500) | ÷ | 17,067) |
| Dec 31, 2005 | 9.62% | = | 100 | × | 1,568) | ÷ | 16,303) |
Based on: 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
1 US$ in millions
The Return on Assets (ROA) from 2005 to 2020 exhibits two distinct operational phases: a period of relative stability followed by a phase characterized by higher volatility and improved peak efficiency. Between 2005 and 2012, ROA remained within a tight range of 8.21% to 9.89%, indicating a consistent relationship between the asset base and net income generation.
- Asset Base Dynamics and Efficiency
- A peak in total assets occurred in 2010 at 19,864 million USD, followed by a gradual contraction to a low of 14,602 million USD in 2016. This reduction in the total asset base coincided with a significant increase in ROA, which climbed from 6.83% in 2015 to 15.04% by 2017. This suggests an increase in asset turnover or a strategic optimization of the balance sheet to generate higher returns per unit of asset.
- Earnings Volatility and Impact on ROA
- Net income demonstrated significant fluctuations during the second half of the analyzed period. A notable decline in net income to 1,013 million USD in 2015 led to the lowest ROA of the entire series at 6.83%. Conversely, a sharp recovery in net income to 2,278 million USD in 2017, combined with a lean asset base, drove ROA to its historical peak of 15.04%.
- Long-term Performance Trend
- Despite a dip to 9.71% in 2018, the ROA recovered strongly to 14.11% in 2019 and 13.42% in 2020. When compared to the 2005-2012 average, the later years indicate a higher baseline of asset productivity, as the ROA consistently remained above 13% in the final two years of the period despite an increase in total assets to 17,523 million USD by 2020.
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Comparison to Competitors
Kimberly-Clark Corp., ROA, long-term trends, comparison to competitors
| Kimberly-Clark Corp. | Procter & Gamble Co. | |
|---|---|---|
| Dec 31, 2020 | 13.42% | 10.79% |
| Dec 31, 2019 | 14.11% | 3.39% |
| Dec 31, 2018 | 9.71% | 8.24% |
| Dec 31, 2017 | 15.04% | 12.73% |
| Dec 31, 2016 | 14.83% | 8.27% |
| Dec 31, 2015 | 6.83% | 5.43% |
| Dec 31, 2014 | 9.83% | 8.07% |
| Dec 31, 2013 | 11.32% | 8.12% |
| Dec 31, 2012 | 8.81% | 8.13% |
| Dec 31, 2011 | 8.21% | 8.53% |
| Dec 31, 2010 | 9.28% | 9.94% |
| Dec 31, 2009 | 9.81% | 9.96% |
| Dec 31, 2008 | 9.34% | 8.39% |
| Dec 31, 2007 | 9.89% | 7.49% |
| Dec 31, 2006 | 8.79% | 6.40% |
| Dec 31, 2005 | 9.62% | 11.79% |
Based on: 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Industry (Consumer Staples)
Kimberly-Clark Corp., ROA, long-term trends, comparison to industry (consumer staples)
| Kimberly-Clark Corp. | Consumer Staples | |
|---|---|---|
| Dec 31, 2020 | 13.42% | 8.24% |
| Dec 31, 2019 | 14.11% | 6.41% |
| Dec 31, 2018 | 9.71% | 8.40% |
| Dec 31, 2017 | 15.04% | 7.42% |
| Dec 31, 2016 | 14.83% | 7.94% |
| Dec 31, 2015 | 6.83% | 7.69% |
| Dec 31, 2014 | 9.83% | 7.96% |
| Dec 31, 2013 | 11.32% | 8.75% |
| Dec 31, 2012 | 8.81% | 8.63% |
| Dec 31, 2011 | 8.21% | 8.89% |
| Dec 31, 2010 | 9.28% | 9.45% |
| Dec 31, 2009 | 9.81% | 9.43% |
| Dec 31, 2008 | 9.34% | 9.11% |
| Dec 31, 2007 | 9.89% | 8.07% |
| Dec 31, 2006 | 8.79% | 8.42% |
| Dec 31, 2005 | 9.62% | 9.55% |
Based on: 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).