International Seaways Inc (INSW)
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 | 455,225 | 615,431 | 443,368 | -55,149 | 131,501 |
| Total assets | US$ in thousands | 2,636,400 | 2,521,820 | 2,615,330 | 2,346,780 | 1,586,540 |
| Operating ROA | 17.27% | 24.40% | 16.95% | -2.35% | 8.29% |
December 31, 2024 calculation
Operating ROA = Operating income ÷ Total assets
= $455,225K ÷ $2,636,400K
= 17.27%
International Seaways Inc's operating return on assets (operating ROA) has displayed fluctuations over the past five years. The trend shows variability in the company's efficiency in generating operating income from its assets.
As of December 31, 2020, the operating ROA stood at 8.29%, indicating a positive return on assets. However, there was a significant decline by December 31, 2021, with a negative operating ROA of -2.35%, suggesting a decrease in operating income generated from its assets, possibly due to operational challenges or inefficiencies.
The trend reversed in the subsequent years, demonstrating a remarkable recovery. By December 31, 2022, the operating ROA surged to 16.95%, indicating improved operational efficiency and profitability. This positive momentum continued into December 31, 2023, with a notable increase to 24.40%, showcasing the company's enhanced ability to generate operating income from its assets efficiently.
In the most recent period ending December 31, 2024, the operating ROA remained relatively strong at 17.27%, albeit slightly lower than the peak in 2023. This indicates that International Seaways Inc continues to effectively utilize its assets to generate operating income, albeit at a slightly lower rate compared to the previous year.
Overall, the company's operating ROA trend reflects both challenges and successes in managing its assets to generate operating income. The recent positive performance suggests improved operational efficiency, but continued monitoring is essential to ensure sustained profitability and asset utilization in the future.
Peer comparison
Dec 31, 2024