Advanced Energy Industries Inc (AEIS)
Operating return on assets (Operating ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 36,607 | 113,694 | 233,095 | 151,681 | 176,023 |
| Total assets | US$ in thousands | 2,261,890 | 2,556,760 | 1,992,170 | 1,817,340 | 1,648,640 |
| Operating ROA | 1.62% | 4.45% | 11.70% | 8.35% | 10.68% |
December 31, 2024 calculation
Operating ROA = Operating income ÷ Total assets
= $36,607K ÷ $2,261,890K
= 1.62%
The operating return on assets (ROA) of Advanced Energy Industries Inc has fluctuated over the past five years. In December 31, 2020, the operating ROA stood at 10.68%, indicating that the company generated 10.68 cents of operating income for every dollar of assets. However, by December 31, 2021, the operating ROA decreased to 8.35%, suggesting a slight decline in the company's operational efficiency in utilizing its assets.
In a positive turn, the operating ROA improved in December 31, 2022, reaching 11.70%, signaling that the company was able to generate more operating income relative to its assets. Unfortunately, this positive trend was short-lived as the operating ROA dropped significantly to 4.45% by December 31, 2023, indicating a substantial decrease in operational efficiency.
The most recent data point, as of December 31, 2024, reveals a further decline in operating ROA to 1.62%, suggesting that the company's ability to generate operating income from its assets has weakened significantly. Overall, the fluctuating trend in Advanced Energy Industries Inc operating ROA highlights the importance of closely monitoring operational performance and asset utilization to maintain sustainable profitability in the long term.
Peer comparison
Dec 31, 2024