Green Plains Renewable Energy Inc (GPRE)
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 | -61,578 | -98,948 | 25,508 | -122,696 | -142,570 |
| Total assets | US$ in thousands | 1,939,320 | 2,123,130 | 2,159,760 | 1,578,920 | 1,698,220 |
| Operating ROA | -3.18% | -4.66% | 1.18% | -7.77% | -8.40% |
December 31, 2023 calculation
Operating ROA = Operating income ÷ Total assets
= $-61,578K ÷ $1,939,320K
= -3.18%
Green Plains Inc's operating return on assets (ROA) has fluctuated over the past five years. In 2023, the company's operating ROA was -3.45%, an improvement from the previous year's -4.66%. However, compared to 2021, when it stood at -0.19%, the current figure indicates a weaker performance. Looking further back, Green Plains Inc's operating ROA was also negative in 2020 and 2019, at -4.92% and -8.40% respectively.
The negative operating ROA figures suggest that Green Plains Inc is not efficiently generating profits from its assets through its core operations. It is crucial for the company to analyze the factors contributing to these low or negative ROA figures and take necessary actions to improve operational efficiency and asset utilization to enhance profitability in the future.
Peer comparison
Dec 31, 2023