BWX Technologies Inc (BWXT)

Return on assets (ROA)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	US$ in thousands	245,849	238,191	305,871	278,670	244,115
Total assets	US$ in thousands	2,747,060	2,618,940	2,501,380	2,293,500	1,908,910
ROA		8.95%	9.09%	12.23%	12.15%	12.79%

December 31, 2023 calculation

ROA = Net income ÷ Total assets
= $245,849K ÷ $2,747,060K
= 8.95%

The return on assets (ROA) of BWX Technologies Inc has exhibited a declining trend over the past five years. The ROA decreased from 12.79% in 2019 to 8.95% in 2023. This suggests that the company's ability to generate profits from its assets has weakened over this period. The declining ROA could indicate inefficiencies in asset utilization or declining profitability relative to the size of BWX Technologies Inc's asset base. It is important for the company to closely monitor its asset management strategies, profitability, and overall operational efficiency to improve its ROA and enhance shareholder value.

Peer comparison

Dec 31, 2023

Company name

Symbol

ROA

BWX Technologies Inc

BWXT

8.95%

Brunswick Corporation