Boise Cascad Llc (BCC)
Operating return on assets (Operating ROA)
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 624,386 | 658,986 | 772,723 | 879,823 | 1,157,849 | 1,229,454 | 1,059,470 | 1,172,170 | 971,803 | 843,522 | 872,708 | 514,703 | 334,989 | 260,689 | 147,017 | 140,347 | 136,500 | 27,400 | 13,000 | 42,000 |
| Total assets | US$ in thousands | 3,458,650 | 3,642,430 | 3,476,390 | 3,362,190 | 3,240,510 | 3,348,530 | 3,135,170 | 3,105,930 | 2,572,640 | 2,588,360 | 2,647,440 | 2,278,740 | 1,965,720 | 2,059,840 | 1,841,080 | 1,755,370 | 1,693,350 | 1,785,920 | 1,732,810 | 1,687,050 |
| Operating ROA | 18.05% | 18.09% | 22.23% | 26.17% | 35.73% | 36.72% | 33.79% | 37.74% | 37.77% | 32.59% | 32.96% | 22.59% | 17.04% | 12.66% | 7.99% | 8.00% | 8.06% | 1.53% | 0.75% | 2.49% |
December 31, 2023 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $624,386K ÷ $3,458,650K
= 18.05%
The operating return on assets (operating ROA) for Boise Cascade Co has shown a declining trend over the past eight quarters. In Q1 2022, the operating ROA was at its peak at 37.64%, after which it steadily decreased to 26.18% in Q1 2023. This indicates a decreasing efficiency in utilizing its assets to generate operating income over time. The recent operating ROA figures in Q3 2023 and Q4 2023 have slightly rebounded from the lowest point in Q1 2023 but are still lower compared to the earlier quarters in 2022.
A decline in operating ROA can be a cause for concern as it suggests that the company may be becoming less effective in generating profits from its assets. Management should investigate the reasons behind this trend, such as inefficient operations, changes in business strategy, or macroeconomic factors impacting the industry. Monitoring and improving the operating ROA will be crucial for Boise Cascade Co to enhance its profitability and overall financial performance.
Peer comparison
Dec 31, 2023