Astec Industries Inc (ASTE)
Return on assets (ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 4,300 | 33,500 | -600 | 15,800 | 46,000 |
| Total assets | US$ in thousands | 1,043,600 | 1,059,300 | 1,014,400 | 911,300 | 848,200 |
| ROA | 0.41% | 3.16% | -0.06% | 1.73% | 5.42% |
December 31, 2024 calculation
ROA = Net income ÷ Total assets
= $4,300K ÷ $1,043,600K
= 0.41%
Based on the provided data, Astec Industries Inc's return on assets (ROA) has shown fluctuating trends over the years:
1. December 31, 2020: ROA was 5.42%. This indicates that for every dollar of assets Astec Industries held, the company generated a return of 5.42% during that year.
2. December 31, 2021: ROA decreased to 1.73%, reflecting a lower return generated from its assets compared to the previous year.
3. December 31, 2022: The ROA turned negative at -0.06%, suggesting that the company's assets were not generating a positive return during this period, which could be a concerning sign.
4. December 31, 2023: The ROA recovered to 3.16%, indicating an improvement in the company's ability to generate returns from its assets compared to the previous year.
5. December 31, 2024: ROA further dropped to 0.41%, showing a decreased return on assets compared to the previous year.
Overall, Astec Industries Inc's ROA has shown fluctuations, with a mix of positive and negative returns over the years. It is essential for the company to focus on efficiently utilizing its assets to sustain or improve its ROA for long-term financial health.
Peer comparison
Dec 31, 2024