Installed Building Products Inc (IBP)
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 | 369,100 | 345,400 | 187,880 | 161,867 | 121,160 |
| Total assets | US$ in thousands | 1,981,300 | 1,778,900 | 1,653,200 | 1,187,680 | 1,099,480 |
| Operating ROA | 18.63% | 19.42% | 11.36% | 13.63% | 11.02% |
December 31, 2023 calculation
Operating ROA = Operating income ÷ Total assets
= $369,100K ÷ $1,981,300K
= 18.63%
Installed Building Products Inc's operating return on assets (operating ROA) has shown variations over the past five years. In 2023, the operating ROA was 18.63%, slightly higher than the previous year's 18.51%. This indicates that the company generated a higher operating income relative to its assets in 2023.
Comparing to the two preceding years, in 2021 and 2020, the operating ROA was 11.36% and 13.63% respectively. This implies that the company's operating efficiency and profitability improved in 2023 compared to those years.
In 2019, the operating ROA was 11.02%, slightly lower than in 2023, indicating that the company's operating performance has improved steadily over the years.
Overall, a higher operating ROA indicates better efficiency in utilizing assets to generate operating income, suggesting that Installed Building Products Inc has shown positive performance in this aspect in recent years.
Peer comparison
Dec 31, 2023