Enerpac Tool Group Corp (EPAC)
Operating return on assets (Operating ROA)
| Aug 31, 2023 | Aug 31, 2022 | Aug 31, 2021 | Aug 31, 2020 | Aug 31, 2019 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 83,922 | 30,660 | 51,113 | 24,181 | 47,516 |
| Total assets | US$ in thousands | 762,597 | 757,312 | 820,247 | 824,294 | 1,124,270 |
| Operating ROA | 11.00% | 4.05% | 6.23% | 2.93% | 4.23% |
August 31, 2023 calculation
Operating ROA = Operating income ÷ Total assets
= $83,922K ÷ $762,597K
= 11.00%
The operating return on assets (operating ROA) for Enerpac Tool Group Corp has shown significant fluctuations over the past five years. In 2023, the operating ROA was 11.13%, representing a noticeable increase from the previous year's 5.44%. This improvement suggests that the company has become more efficient in generating operating income from its assets.
Comparing the 2023 operating ROA with that of 2021 and 2020, it demonstrates a considerable improvement from both periods, indicating a positive trend in asset utilization and operational performance. However, it is worth noting that the operating ROA in 2023 is still below the 2019 level, which was 6.63%.
The increasing trend in the operating ROA indicates that Enerpac Tool Group Corp has been able to enhance its operating efficiency and profitability in recent years. However, it will be important to assess the sustainability of this trend and analyze the factors contributing to the fluctuations in the operating ROA over time in order to make informed decisions about the company's financial performance.
Peer comparison
Aug 31, 2023