American Woodmark Corporation (AMWD)
Return on assets (ROA)
| Apr 30, 2025 | Apr 30, 2024 | Apr 30, 2023 | Apr 30, 2022 | Apr 30, 2021 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 99,456 | 116,216 | 93,723 | -29,722 | 61,193 |
| Total assets | US$ in thousands | 1,570,570 | 1,593,860 | 1,518,800 | 1,632,500 | 1,636,510 |
| ROA | 6.33% | 7.29% | 6.17% | -1.82% | 3.74% |
April 30, 2025 calculation
ROA = Net income ÷ Total assets
= $99,456K ÷ $1,570,570K
= 6.33%
The return on assets (ROA) of American Woodmark Corporation over the specified period demonstrates notable fluctuations, reflecting variations in the company's efficiency in generating earnings from its asset base. As of April 30, 2021, the ROA stood at 3.74%, indicating modest profitability relative to the company's total assets. In the subsequent year, April 30, 2022, the ROA declined significantly to -1.82%, signaling that the company suffered a net loss relative to its assets during that fiscal year, potentially due to operational challenges or increased costs impacting profitability.
However, the ROA improved markedly by April 30, 2023, rising to 6.17%, which suggests a recovery and enhancement in asset utilization efficiency, leading to profitability again. The upward trend continued through April 30, 2024, with the ROA reaching 7.29%, representing a strong return on assets and indicating effective management and operational performance. Despite a slight decrease to 6.33% by April 30, 2025, the ROA remains notably higher than the levels seen in 2021 and 2022, reflecting sustained operational improvements and efficient asset use.
Overall, the trend shows a significant dip in 2022 followed by consistent recovery and stabilization in subsequent years, suggesting the company's resilience and potential operational improvements after experiencing earlier setbacks.