AZZ Incorporated (AZZ)
Operating return on assets (Operating ROA)
| Feb 29, 2024 | Feb 28, 2023 | Feb 28, 2022 | Feb 28, 2021 | Feb 29, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 221,600 | 173,638 | 79,219 | 47,477 | 79,343 |
| Total assets | US$ in thousands | 2,195,500 | 2,221,480 | 1,133,030 | 999,227 | 1,073,830 |
| Operating ROA | 10.09% | 7.82% | 6.99% | 4.75% | 7.39% |
February 29, 2024 calculation
Operating ROA = Operating income ÷ Total assets
= $221,600K ÷ $2,195,500K
= 10.09%
AZZ Incorporated's operating return on assets (ROA) has shown a generally positive trend over the past five years, indicating an improvement in the company's efficiency in generating operating profits relative to its total assets. The operating ROA increased from 7.39% in February 2020 to 10.09% in February 2024, reflecting a significant improvement in the company's operational performance.
This upward trend suggests that AZZ has been able to enhance its operational efficiency and profitability over this period. The company has been able to generate more operating income per dollar of assets invested, signaling effective asset utilization and operational management.
The consistent improvement in operating ROA indicates that AZZ has been successful in optimizing its asset base to drive operating profitability. This may be attributed to the company's strategic focus on improving operational efficiency, managing costs effectively, and maximizing returns on its asset investments.
Overall, the increasing trend in operating ROA for AZZ Incorporated over the past five years is a positive indicator of the company's operational strength and ability to generate profits from its asset base.
Peer comparison
Feb 29, 2024