Exponent Inc (EXPO)
Operating return on assets (Operating ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 119,557 | 111,322 | 140,842 | 108,927 | 83,249 |
| Total assets | US$ in thousands | 777,270 | 646,777 | 586,662 | 683,739 | 580,096 |
| Operating ROA | 15.38% | 17.21% | 24.01% | 15.93% | 14.35% |
December 31, 2024 calculation
Operating ROA = Operating income ÷ Total assets
= $119,557K ÷ $777,270K
= 15.38%
Exponent Inc's operating return on assets (operating ROA) has shown a generally positive trend over the past five years, increasing from 14.35% as of December 31, 2020, to 15.93% as of December 31, 2021, and further to 24.01% as of December 31, 2022. This significant increase in 2022 reflects improved efficiency in utilizing its assets to generate operating income.
However, in the following years, the operating ROA demonstrated some fluctuation. By December 31, 2023, the operating ROA decreased to 17.21%, indicating a slight decline in the company's ability to generate operating income relative to its assets. Subsequently, by December 31, 2024, the operating ROA decreased further to 15.38%, signaling a potential decline in operational efficiency or profitability during that period.
Overall, while Exponent Inc's operating ROA has experienced fluctuations, it remains above the initial level observed in 2020, suggesting the company has generally been effective in utilizing its assets to generate operating income, with room for improvement in maintaining or enhancing this efficiency in the future.
Peer comparison
Dec 31, 2024