Return on Assets (ROA)
since 2005
Calculation
United Rentals Inc., ROA, long-term trends, calculation
| ROA | = | 100 | × | Net income (loss)1 | ÷ | Total assets1 | |
|---|---|---|---|---|---|---|---|
| Dec 31, 2022 | 8.70% | = | 100 | × | 2,105) | ÷ | 24,183) |
| Dec 31, 2021 | 6.83% | = | 100 | × | 1,386) | ÷ | 20,292) |
| Dec 31, 2020 | 4.98% | = | 100 | × | 890) | ÷ | 17,868) |
| Dec 31, 2019 | 6.19% | = | 100 | × | 1,174) | ÷ | 18,970) |
| Dec 31, 2018 | 6.04% | = | 100 | × | 1,096) | ÷ | 18,133) |
| Dec 31, 2017 | 8.96% | = | 100 | × | 1,346) | ÷ | 15,030) |
| Dec 31, 2016 | 4.72% | = | 100 | × | 566) | ÷ | 11,988) |
| Dec 31, 2015 | 4.84% | = | 100 | × | 585) | ÷ | 12,083) |
| Dec 31, 2014 | 4.33% | = | 100 | × | 540) | ÷ | 12,467) |
| Dec 31, 2013 | 3.45% | = | 100 | × | 387) | ÷ | 11,231) |
| Dec 31, 2012 | 0.68% | = | 100 | × | 75) | ÷ | 11,026) |
| Dec 31, 2011 | 2.44% | = | 100 | × | 101) | ÷ | 4,143) |
| Dec 31, 2010 | -0.70% | = | 100 | × | (26) | ÷ | 3,693) |
| Dec 31, 2009 | -1.61% | = | 100 | × | (62) | ÷ | 3,859) |
| Dec 31, 2008 | -16.80% | = | 100 | × | (704) | ÷ | 4,191) |
| Dec 31, 2007 | 6.20% | = | 100 | × | 362) | ÷ | 5,842) |
| Dec 31, 2006 | 4.17% | = | 100 | × | 224) | ÷ | 5,366) |
| Dec 31, 2005 | 3.55% | = | 100 | × | 187) | ÷ | 5,274) |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 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 company’s financial performance over the analyzed period demonstrates notable fluctuations in profitability and asset base. Net income exhibited significant variability, with positive earnings in most years, except for notable losses in 2008 and 2009. Following the negative net income values during the economic downturn years (2008 and 2009), the company returned to profitability from 2010 onwards. From 2012, net income generally showed a strong upward trajectory, peaking in 2022.
Total assets experienced a decrease during the 2008 and 2009 period, reaching a low point in 2010. Subsequent years showed a recovery and consistent growth in total assets, reaching a peak in 2022, indicative of asset expansion or acquisition activities. The sharp rise in total assets between 2011 and 2012 suggests a significant capital investment or asset purchase.
Return on assets (ROA) followed a pattern aligned with net income fluctuations. The ROA dropped sharply into negative territory in 2008 and 2009, reflecting the losses experienced. Afterward, the measure of profitability relative to assets recovered steadily. The upward trend in ROA from 2013 onwards, with some minor fluctuations, implies improved efficiency in generating earnings from the asset base. The highest ROA was recorded in 2022, signaling strong profitability and asset utilization.
- Profitability Trends
- Net income was negative during 2008 and 2009 but rebounded in 2010 and showed overall growth thereafter.
- ROA mirrored net income trends, with negative returns during the 2008–2009 period and gradual improvement from 2010 onward.
- The company achieved its highest profit and ROA levels in 2022, indicating strong financial performance.
- Asset Trends
- Total assets decreased during the economic downturn (2008–2010) and increased significantly from 2011 through 2022.
- A notable increase in assets occurred between 2011 and 2012, suggesting major investment or acquisition activities.
- The continuous asset growth post-2011 underpins the company’s expansion strategy or increased capacity.
- Overall Insights
- The period of negative profitability coincided with a contraction in asset base, reflecting economic challenges impacting performance.
- Post-recovery years demonstrate effective asset utilization and profitability improvement, evidenced by rising ROA and net income.
- The strong upward trend in total assets and profitability toward 2022 highlights a phase of sustained growth and operational efficiency.
Comparison to Competitors
United Rentals Inc., ROA, long-term trends, comparison to competitors
| United Rentals Inc. | Boeing Co. | Caterpillar Inc. | Eaton Corp. plc | GE Aerospace | Honeywell International Inc. | Lockheed Martin Corp. | RTX Corp. | |
|---|---|---|---|---|---|---|---|---|
| Dec 31, 2022 | 8.70% | -3.60% | 8.18% | 7.03% | 0.12% | 7.97% | 10.84% | 3.27% |
| Dec 31, 2021 | 6.83% | -3.03% | 7.84% | 6.30% | -3.28% | 8.60% | 12.41% | 2.39% |
| Dec 31, 2020 | 4.98% | -7.80% | 3.83% | 4.43% | 2.25% | 7.40% | 13.47% | -2.17% |
| Dec 31, 2019 | 6.19% | -0.48% | 7.77% | 6.74% | -1.87% | 10.47% | 13.11% | 3.96% |
| Dec 31, 2018 | 6.04% | 8.91% | 7.83% | 6.90% | -7.23% | 11.71% | 11.24% | 3.93% |
| Dec 31, 2017 | 8.96% | 8.88% | 0.98% | 9.15% | -1.53% | 2.79% | 4.30% | 4.70% |
| Dec 31, 2016 | 4.72% | 5.44% | -0.09% | 6.32% | 2.42% | 8.88% | 11.09% | 5.64% |
| Dec 31, 2015 | 4.84% | 5.48% | 2.68% | 6.38% | -1.24% | 9.67% | 7.34% | 8.70% |
| Dec 31, 2014 | 4.33% | 5.49% | 4.36% | 5.35% | 2.35% | 9.33% | 9.75% | 6.81% |
| Dec 31, 2013 | 3.45% | 4.95% | 4.46% | 5.24% | 1.99% | 8.64% | 8.24% | 6.31% |
| Dec 31, 2012 | 0.68% | 4.39% | 6.36% | 3.39% | 1.99% | 6.99% | 7.10% | 5.74% |
| Dec 31, 2011 | 2.44% | 5.02% | 6.05% | 7.55% | 1.97% | 5.19% | 7.00% | 8.10% |
| Dec 31, 2010 | -0.70% | 4.82% | 4.22% | 5.38% | 1.55% | 5.34% | 8.34% | 7.48% |
| Dec 31, 2009 | -1.61% | 2.11% | 1.49% | 2.35% | 1.41% | 5.98% | 8.61% | 6.87% |
| Dec 31, 2008 | -16.80% | 4.97% | 5.25% | 6.35% | 2.18% | 7.87% | 9.62% | 8.30% |
| Dec 31, 2007 | 6.20% | 6.91% | 6.31% | 7.40% | 2.79% | 7.23% | 10.49% | 7.74% |
| Dec 31, 2006 | 4.17% | 4.28% | 6.95% | 8.32% | 2.99% | 6.73% | 8.96% | 7.92% |
| Dec 31, 2005 | 3.55% | 4.28% | 6.06% | 7.88% | 2.43% | 5.12% | 6.58% | 6.68% |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 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 Sector (Capital Goods)
United Rentals Inc., ROA, long-term trends, comparison to sector (capital goods)
| United Rentals Inc. | Capital Goods | |
|---|---|---|
| Dec 31, 2022 | 8.70% | 2.84% |
| Dec 31, 2021 | 6.83% | 1.86% |
| Dec 31, 2020 | 4.98% | 0.80% |
| Dec 31, 2019 | 6.19% | 2.72% |
| Dec 31, 2018 | 6.04% | 1.74% |
| Dec 31, 2017 | 8.96% | 1.83% |
| Dec 31, 2016 | 4.72% | 4.09% |
| Dec 31, 2015 | 4.84% | 2.17% |
| Dec 31, 2014 | 4.33% | 3.87% |
| Dec 31, 2013 | 3.45% | 3.45% |
| Dec 31, 2012 | 0.68% | 3.30% |
| Dec 31, 2011 | 2.44% | 3.30% |
| Dec 31, 2010 | -0.70% | 2.70% |
| Dec 31, 2009 | -1.61% | 2.16% |
| Dec 31, 2008 | -16.80% | 3.33% |
| Dec 31, 2007 | 6.20% | 3.89% |
| Dec 31, 2006 | 4.17% | 3.91% |
| Dec 31, 2005 | 3.55% | 3.25% |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 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 (Industrials)
United Rentals Inc., ROA, long-term trends, comparison to industry (industrials)
| United Rentals Inc. | Industrials | |
|---|---|---|
| Dec 31, 2022 | 8.70% | 3.31% |
| Dec 31, 2021 | 6.83% | 3.40% |
| Dec 31, 2020 | 4.98% | 0.04% |
| Dec 31, 2019 | 6.19% | 2.56% |
| Dec 31, 2018 | 6.04% | 3.16% |
| Dec 31, 2017 | 8.96% | 3.59% |
| Dec 31, 2016 | 4.72% | 4.55% |
| Dec 31, 2015 | 4.84% | 3.52% |
| Dec 31, 2014 | 4.33% | 4.31% |
| Dec 31, 2013 | 3.45% | 3.91% |
| Dec 31, 2012 | 0.68% | 3.38% |
| Dec 31, 2011 | 2.44% | 3.69% |
| Dec 31, 2010 | -0.70% | 3.03% |
| Dec 31, 2009 | -1.61% | 2.24% |
| Dec 31, 2008 | -16.80% | 3.10% |
| Dec 31, 2007 | 6.20% | 3.87% |
| Dec 31, 2006 | 4.17% | 6.41% |
| Dec 31, 2005 | 3.55% | 1.42% |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 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).