American Woodmark Corporation (AMWD)
Return on assets (ROA)
| Apr 30, 2025 | Jan 31, 2025 | Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 99,456 | 100,688 | 105,344 | 107,999 | 116,216 | 119,559 | 113,060 | 111,503 | 93,723 | 78,106 | 14,121 | -12,633 | -29,722 | -41,419 | 25,033 | 45,259 | 58,763 | 68,949 | 64,558 | 64,465 |
| Total assets | US$ in thousands | 1,570,570 | 1,590,240 | 1,609,880 | 1,623,420 | 1,593,860 | 1,573,840 | 1,534,100 | 1,530,630 | 1,518,800 | 1,564,370 | 1,651,030 | 1,646,210 | 1,632,500 | 1,591,680 | 1,595,740 | 1,589,580 | 1,636,510 | 1,656,870 | 1,672,880 | 1,667,440 |
| ROA | 6.33% | 6.33% | 6.54% | 6.65% | 7.29% | 7.60% | 7.37% | 7.28% | 6.17% | 4.99% | 0.86% | -0.77% | -1.82% | -2.60% | 1.57% | 2.85% | 3.59% | 4.16% | 3.86% | 3.87% |
April 30, 2025 calculation
ROA = Net income (ttm) ÷ Total assets
= $99,456K ÷ $1,570,570K
= 6.33%
The analysis of American Woodmark Corporation's return on assets (ROA) from July 31, 2020, through April 30, 2025, reveals notable fluctuations over this period. Initially, the ROA was relatively stable around 3.87% in July 2020 and 3.86% in October 2020. It exhibited modest growth, reaching a peak of 4.16% in January 2021 before declining slightly to 3.59% by April 2021.
Starting in July 2021, a downward trend becomes evident, with the ROA decreasing to 2.85% and then sharply declining to 1.57% by October 2021. The negative territory is first observed in January 2022 at -2.60% and persists through April 2022 (-1.82%) and July 2022 (-0.77%), indicating a period of declining profitability relative to the company’s asset base.
Post-October 2022, the ROA recovers to positive figures, reaching 0.86%. Significant improvement is observable from January 2023 onward, with the ROA escalating to 4.99% and continuing upward through April 2023 (6.17%) and July 2023 (7.28%). By October 2023, the ROA slightly exceeds 7%, standing at 7.37%. The upward trend persists into early 2024, with the ROA reaching a peak of 7.60% in January 2024.
Subsequently, there is a modest decline observed in the subsequent quarters, with the ROA decreasing to 6.65% in July 2024 and further slight reduction to 6.54% in October 2024. By January 2025, the ROA stabilizes around 6.33%, with the same value anticipated for April 2025.
Overall, the company's ROA demonstrates periods of both decline and recovery. The initial stability was disrupted during the 2021-2022 period, marked by negative ROA figures suggesting losses relative to assets, possibly reflecting operational challenges or economic factors. Since late 2022, the ROA has shown a significant and sustained recovery, reaching levels indicative of improved profitability and asset utilization, although with slight fluctuations, reflecting the dynamic nature of the company's performance in recent years.