B&G Foods Inc (BGS)

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	80,419	105,042	126,737	104,485	98,628	53,580	158,250	190,424	196,079	218,261	252,297	278,197	276,438	278,326	256,370	218,765	203,836	332,906	337,384	329,266
Total assets	US$ in thousands	3,463,290	3,956,850	3,718,710	3,752,440	3,841,610	3,983,570	3,916,920	3,839,350	3,828,540	3,946,140	3,761,420	3,741,200	3,767,570	3,278,900	3,251,820	3,318,780	3,227,590	3,572,260	3,171,770	3,074,180
Operating ROA		2.32%	2.65%	3.41%	2.78%	2.57%	1.35%	4.04%	4.96%	5.12%	5.53%	6.71%	7.44%	7.34%	8.49%	7.88%	6.59%	6.32%	9.32%	10.64%	10.71%

December 31, 2023 calculation

Operating ROA = Operating income (ttm) ÷ Total assets
= $80,419K ÷ $3,463,290K
= 2.32%

Operating return on assets (operating ROA) measures how efficiently a company generates operating profit from its assets. Looking at the trend of B&G Foods Inc's operating ROA over the past few quarters, we observe fluctuations in the ratio.

From March 2019 to June 2020, the operating ROA ranged from 6.32% to 10.71%, indicating a relatively stable and favorable performance in utilizing its assets to generate operating income. However, there was a noticeable decrease in the operating ROA in the latter half of 2020 and throughout 2021, with the ratio dropping to as low as 2.32% in December 2023.

The decline in operating ROA could suggest potential inefficiencies in the company's operations or a decrease in profitability relative to its asset base during this period. It is important for investors and stakeholders to further investigate the reasons behind the fluctuations in operating ROA to understand the underlying factors impacting B&G Foods Inc's profitability and asset utilization.