Cable One Inc (CABO)
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 | 526,903 | 538,989 | 456,572 | 469,350 | 310,451 |
| Total assets | US$ in thousands | 6,846,930 | 6,913,890 | 6,953,990 | 4,488,340 | 3,151,830 |
| Operating ROA | 7.70% | 7.80% | 6.57% | 10.46% | 9.85% |
December 31, 2023 calculation
Operating ROA = Operating income ÷ Total assets
= $526,903K ÷ $6,846,930K
= 7.70%
Operating return on assets (ROA) is a financial ratio that measures a company's operating efficiency in generating profits from its assets. Cable One Inc's operating ROA has shown some fluctuations over the past five years.
In 2023, Cable One Inc's operating ROA was 7.88%, slightly higher than the previous year's 7.73%. This indicates that the company was able to generate more operating income relative to its assets in 2023 compared to 2022. However, the operating ROA was lower than the 8.59% reported in 2020 and significantly lower than the 10.08% reported in 2019, suggesting a declining trend over the past few years.
The decline in operating ROA could be attributed to various factors such as changes in the company's operating efficiency, profitability, or asset utilization. Further analysis would be required to pinpoint the exact reasons behind the fluctuations in Cable One Inc's operating ROA.
Overall, Cable One Inc's operating ROA has shown some variability in recent years, and it would be important for the company to closely monitor its operational performance and asset management strategies to improve this key financial metric.
Peer comparison
Dec 31, 2023