Graphic Packaging Holding Company (GPK)
Operating return on assets (Operating ROA)
| Dec 31, 2024 | Sep 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 1,085,000 | 1,133,000 | 1,122,000 | 1,174,000 | 1,152,000 | 1,158,000 | 1,043,000 | 906,000 | 721,000 | 549,000 | 492,000 | 407,000 | 454,400 | 452,400 | 472,400 | 524,400 | 527,000 | 530,700 | 560,100 | 534,100 |
| Total assets | US$ in thousands | 11,144,000 | 11,231,000 | 11,349,000 | 11,175,000 | 10,905,000 | 10,739,000 | 10,599,000 | 10,328,000 | 10,182,000 | 10,397,000 | 10,543,000 | 10,457,000 | 8,288,000 | 7,842,000 | 7,747,000 | 7,805,000 | 7,682,000 | 7,666,400 | 7,446,200 | 7,290,000 |
| Operating ROA | 9.74% | 10.09% | 9.89% | 10.51% | 10.56% | 10.78% | 9.84% | 8.77% | 7.08% | 5.28% | 4.67% | 3.89% | 5.48% | 5.77% | 6.10% | 6.72% | 6.86% | 6.92% | 7.52% | 7.33% |
December 31, 2024 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $1,085,000K ÷ $11,144,000K
= 9.74%
The operating return on assets (ROA) of Graphic Packaging Holding Company has displayed fluctuations over the disclosed period, varying from 3.89% as of December 31, 2021, to a peak of 10.78% on June 30, 2023. The trend generally shows a decline in operating ROA from 2019 to 2021, with a noticeable drop from 7.33% to 6.10% during this period. However, there has been an improvement in performance observed from March 31, 2022, as the operating ROA rose to 4.67% and continued to increase, reaching 10.09% as of September 30, 2024.
It is notable that the company experienced a sharp increase in operating ROA during the last reported periods of December 31, 2023, and March 31, 2024, reaching 10.51% and 9.89%, respectively, showcasing a positive trend in profitability. Despite a slight decrease in the following quarter, the operating ROA remained above 9%, demonstrating the company's ability to generate earnings from its operational assets effectively.
In conclusion, the operating ROA of Graphic Packaging Holding Company has shown variability over time, but the recent upward trend indicates an improvement in the company's operational efficiency and profitability. Monitoring this metric closely will be crucial in assessing the company's ability to effectively utilize its assets to generate returns for its stakeholders.
Peer comparison
Dec 31, 2024