Brunswick Corporation (BC)
Operating return on assets (Operating ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 734,900 | 947,800 | 812,900 | 539,300 | 471,000 |
| Total assets | US$ in thousands | 6,230,500 | 6,321,300 | 5,425,000 | 3,770,600 | 3,564,400 |
| Operating ROA | 11.80% | 14.99% | 14.98% | 14.30% | 13.21% |
December 31, 2023 calculation
Operating ROA = Operating income ÷ Total assets
= $734,900K ÷ $6,230,500K
= 11.80%
Operating ROA measures how efficiently a company generates operating income from its assets. Brunswick Corp.'s operating ROA has shown consistent performance over the past five years, ranging from 12.67% to 15.39%. This indicates that management has been able to effectively utilize the company's assets to generate operating profits.
The slight fluctuation in operating ROA over the years may be due to changes in operating income and asset levels. Overall, the trend suggests that Brunswick Corp. has been successful in maintaining a healthy balance between generating operating income and efficiently managing its assets. Moving forward, monitoring this ratio will be important to ensure continued profitability and asset utilization.
Peer comparison
Dec 31, 2023