AAON Inc (AAON)
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 | 227,494 | 126,761 | 69,253 | 101,836 | 67,011 |
| Total assets | US$ in thousands | 941,436 | 813,903 | 650,180 | 449,008 | 371,424 |
| Operating ROA | 24.16% | 15.57% | 10.65% | 22.68% | 18.04% |
December 31, 2023 calculation
Operating ROA = Operating income ÷ Total assets
= $227,494K ÷ $941,436K
= 24.16%
The operating return on assets (operating ROA) for AAON Inc. has shown fluctuations over the past five years. In 2023, the operating ROA was 24.16%, reflecting a significant increase from the previous year's level of 15.57% in 2022. This improvement indicates that the company generated a higher operating income relative to its total assets, which is a positive sign of operational efficiency.
Comparing the current operating ROA to historical data, AAON Inc. experienced a notable uptick in performance in 2023 compared to 2021, when the operating ROA was 10.65%. This suggests that the company was able to boost its operational effectiveness and profitability during the most recent fiscal year.
However, it is important to note that the operating ROA in 2023 was slightly lower than the level reported in 2020 (21.24%) and 2019 (18.13%). This indicates a temporary dip in operating efficiency and profitability in 2023 compared to the immediately preceding years.
Overall, the upward trend in operating ROA over the past five years, with some fluctuations, suggests that AAON Inc. has been effectively utilizing its assets to generate operating income. The company's ability to maintain a relatively high operating ROA indicates sound operational performance and efficiency during the most recent fiscal year. Further analysis would be needed to understand the specific factors driving these changes in operating ROA over time.
Peer comparison
Dec 31, 2023