American Water Works (AWK)
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 | 1,718,000 | 1,504,000 | 1,273,000 | 1,196,000 | 1,248,000 |
| Total assets | US$ in thousands | 32,830,000 | 30,298,000 | 27,787,000 | 26,075,000 | 24,766,000 |
| Operating ROA | 5.23% | 4.96% | 4.58% | 4.59% | 5.04% |
December 31, 2024 calculation
Operating ROA = Operating income ÷ Total assets
= $1,718,000K ÷ $32,830,000K
= 5.23%
Based on the data provided, American Water Works' operating return on assets (operating ROA) has shown a slight fluctuation over the past five years. The operating ROA decreased from 5.04% as of December 31, 2020, to 4.59% as of December 31, 2021, and further decreased to 4.58% as of December 31, 2022. However, there was a slight improvement in operating ROA to 4.96% as of December 31, 2023. The most recent data point as of December 31, 2024, shows a further increase in operating ROA to 5.23%.
Overall, American Water Works' operating ROA has shown some variability, with fluctuations in performance over the years. It is essential for the company to assess the factors influencing these changes to ensure sustainable and consistent profitability in the future.
Peer comparison
Dec 31, 2024