CSW Industrials, Inc. (CSW)

Operating return on assets (Operating ROA)

Mar 31, 2025 Mar 31, 2024 Mar 31, 2023 Mar 31, 2022 Mar 31, 2021
Operating income US$ in thousands 181,248 159,118 139,066 97,380 59,470
Total assets US$ in thousands 1,379,060 1,043,330 1,043,450 995,360 874,957
Operating ROA 13.14% 15.25% 13.33% 9.78% 6.80%

March 31, 2025 calculation

Operating ROA = Operating income ÷ Total assets
= $181,248K ÷ $1,379,060K
= 13.14%

The operating return on assets (operating ROA) of CSW Industrials, Inc. has demonstrated a consistent upward trend over the observed period from March 31, 2021, to March 31, 2024, followed by a slight decline in the subsequent year. Specifically, the operating ROA increased from 6.80% as of March 31, 2021, to 9.78% in 2022, indicating improvements in operational efficiency and asset utilization. This upward trajectory continued into 2023, reaching 13.33%, further signifying enhanced profitability derived from core operations relative to total assets. The growth persisted into 2024, with the operating ROA reaching 15.25%, which suggests a period of strong operational performance and possibly better cost management or higher-margin product lines.

However, in the fiscal year ending March 31, 2025, the operating ROA declined to 13.14%, reflecting a slight reduction in operational efficiency or margin compression. This decrease might indicate increased costs, competitive pressures, or other operational challenges impacting the company's ability to generate returns from its asset base at the same level as the previous year.

Overall, the company's operating ROA trend demonstrates substantial improvement over the prior two years, signifying enhanced operational profitability relative to assets. The dip in the most recent fiscal year warrants attention to underlying factors affecting operational performance, but the overall trajectory remains positive, pointing toward a period of effective asset deployment and operational strength during the observed timeframe.


Peer comparison

Mar 31, 2025

Company name
Symbol
Operating ROA
CSW Industrials, Inc.
CSW
13.14%
H B Fuller Company
FUL
7.06%