ACI Worldwide Inc (ACIW)

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	220,408	203,835	209,897	144,744	123,756
Total assets	US$ in thousands	3,444,740	3,209,900	3,158,740	3,386,900	3,257,530
Operating ROA		6.40%	6.35%	6.64%	4.27%	3.80%

December 31, 2023 calculation

Operating ROA = Operating income ÷ Total assets
= $220,408K ÷ $3,444,740K
= 6.40%

ACI Worldwide Inc's operating return on assets (ROA) has shown a generally increasing trend over the five-year period from 2019 to 2023. The ratio improved from 3.80% in 2019 to 6.40% in 2023. This indicates that the company has been more effective in generating operating profits from its assets over the years. However, it is important to note that there was a slight dip in the ratio in 2022 compared to 2021, but it recovered and increased in 2023.

The consistent improvement in operating ROA suggests that ACI Worldwide Inc has been able to utilize its assets more efficiently to generate operating profits. This could be attributed to better cost management, higher revenue generation, or improved operational efficiency within the company.

Overall, the trend in ACI Worldwide Inc's operating return on assets reflects positively on the company's operational performance and efficiency in utilizing its assets to generate profits. It is a key indicator of the company's ability to generate earnings from its operational activities relative to its asset base.