American Axle & Manufacturing (AXL)
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 | 241,400 | 146,600 | 243,900 | 240,600 | 188,100 |
| Total assets | US$ in thousands | 5,059,900 | 5,356,300 | 5,469,400 | 5,635,700 | 5,916,300 |
| Operating ROA | 4.77% | 2.74% | 4.46% | 4.27% | 3.18% |
December 31, 2024 calculation
Operating ROA = Operating income ÷ Total assets
= $241,400K ÷ $5,059,900K
= 4.77%
American Axle & Manufacturing's operating return on assets (operating ROA) has displayed fluctuating trends over the past five years. In December 31, 2020, the operating ROA stood at 3.18%, showing a slight improvement to 4.27% by December 31, 2021. Subsequently, there was a further increase to 4.46% by December 31, 2022.
However, there was a decrease in the operating ROA to 2.74% by December 31, 2023, indicating potential challenges or inefficiencies in the company's operations during that period. Nevertheless, American Axle & Manufacturing managed to rebound strongly, achieving a significant increase in operating ROA to 4.77% by December 31, 2024.
Overall, while the operating ROA experienced some fluctuations, the trend indicates a general improvement in the company's ability to generate operating profits relative to its total assets. It is essential for stakeholders to closely monitor future changes in operating ROA to assess the company's operational efficiency and profitability.
Peer comparison
Dec 31, 2024