Armstrong World Industries Inc (AWI)
Return on assets (ROA)
| Dec 31, 2024 | Sep 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 245,800 | 253,100 | 236,400 | 223,800 | 225,800 | 213,800 | 205,800 | 202,900 | 196,000 | 189,300 | 192,200 | 183,200 | 164,100 | 167,300 | 162,500 | -99,100 | -74,200 | -55,000 | -50,800 | 214,500 |
| Total assets | US$ in thousands | 1,842,700 | 1,804,000 | 1,691,500 | 1,672,400 | 1,713,800 | 1,712,300 | 1,687,900 | 1,687,200 | 1,739,400 | 1,734,000 | 1,708,100 | 1,710,000 | 1,704,900 | 1,716,700 | 1,715,300 | 1,718,500 | 1,633,700 | 1,544,300 | 1,590,300 | 1,493,300 |
| ROA | 13.34% | 14.03% | 13.98% | 13.38% | 13.18% | 12.49% | 12.19% | 12.03% | 11.27% | 10.92% | 11.25% | 10.71% | 9.63% | 9.75% | 9.47% | -5.77% | -4.54% | -3.56% | -3.19% | 14.36% |
December 31, 2024 calculation
ROA = Net income (ttm) ÷ Total assets
= $245,800K ÷ $1,842,700K
= 13.34%
Armstrong World Industries Inc has shown fluctuations in its return on assets (ROA) over the period from December 31, 2019, to December 31, 2024.
The ROA started at a relatively high level of 14.36% on December 31, 2019, indicating that the company was generating a positive return on its assets. However, there was a sharp decline in the ROA to -3.19% on March 31, 2020, reflecting a period of unprofitability or inefficiency in asset utilization.
Throughout 2020 and early 2021, the ROA remained in negative territory, indicating challenges in generating profits relative to the size of the company's asset base. However, there was a significant improvement in the ROA to 9.47% on March 31, 2021, signaling a turnaround in asset performance.
Subsequently, the ROA continued to improve steadily, reaching its peak at 14.03% on September 30, 2024. This upward trend suggests that Armstrong World Industries Inc was able to enhance its asset efficiency and profitability over time.
The slight drop in ROA to 13.34% on December 31, 2024, may indicate a potential dip in asset performance or profitability, but the overall trend showcases an improvement in utilizing assets effectively to generate returns for the company.
Peer comparison
Dec 31, 2024