Kadant Inc (KAI)
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 | 171,252 | 165,757 | 171,282 | 116,710 | 81,124 |
| Total assets | US$ in thousands | 1,430,340 | 1,175,660 | 1,149,880 | 1,132,210 | 927,571 |
| Operating ROA | 11.97% | 14.10% | 14.90% | 10.31% | 8.75% |
December 31, 2024 calculation
Operating ROA = Operating income ÷ Total assets
= $171,252K ÷ $1,430,340K
= 11.97%
Based on the data provided, Kadant Inc's operating return on assets (operating ROA) has shown a positive trend over the past five years. The operating ROA increased from 8.75% on December 31, 2020, to 11.97% on December 31, 2024.
The operating ROA reached its highest point at 14.90% on December 31, 2022, reflecting strong operational efficiency and profitability during that year. Although there was a slight dip to 14.10% on December 31, 2023, the company still maintained a comparatively high operating ROA.
Overall, the increasing trend in operating ROA indicates Kadant Inc's ability to generate operating income relative to its assets, showcasing effective asset utilization and operational performance over the years. The company's performance in this aspect suggests a solid foundation for sustained profitability and efficiency in its operations.
Peer comparison
Dec 31, 2024