Barnes Group Inc (B)
Return on assets (ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 15,996 | 13,479 | 99,873 | 63,375 | 158,350 |
| Total assets | US$ in thousands | 3,308,010 | 2,413,700 | 2,576,800 | 2,676,200 | 2,738,300 |
| ROA | 0.48% | 0.56% | 3.88% | 2.37% | 5.78% |
December 31, 2023 calculation
ROA = Net income ÷ Total assets
= $15,996K ÷ $3,308,010K
= 0.48%
The return on assets (ROA) for Barnes Group Inc. has fluctuated over the past five years. In 2019, the ROA was the highest at 5.78%, indicating that for every dollar of assets, the company generated a profit of 5.78 cents.
However, in the following years, the ROA decreased significantly. In 2020, the ROA dropped to 2.37%, and in 2021, it further declined to 3.88%. This suggests that the company's ability to generate profits from its assets decreased during these periods.
In 2022, there was a slight improvement in the ROA to 0.56%, but it dropped again to 0.48% in 2023. This downward trend could indicate inefficiencies in asset utilization or lower profitability relative to the size of the company's asset base.
Overall, the declining trend in ROA over the years may raise concerns about the company's operational efficiency and profitability. Further analysis of the underlying factors affecting the ROA, such as changes in revenue, expenses, or asset management strategies, would be necessary to gain a better understanding of Barnes Group Inc.'s financial performance.
Peer comparison
Dec 31, 2023