Kaiser Aluminum Corporation (KALU)
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 | 87,700 | 95,800 | -73,800 | -66,800 | 35,000 |
| Total assets | US$ in thousands | 2,314,900 | 2,267,400 | 2,288,800 | 2,422,400 | 1,864,700 |
| Operating ROA | 3.79% | 4.23% | -3.22% | -2.76% | 1.88% |
December 31, 2024 calculation
Operating ROA = Operating income ÷ Total assets
= $87,700K ÷ $2,314,900K
= 3.79%
The operating return on assets (Operating ROA) of Kaiser Aluminum Corporation has shown fluctuating performance over the past five years. As of December 31, 2020, Kaiser Aluminum Corporation had an Operating ROA of 1.88%, indicating a modest return generated from its operating assets.
In the subsequent years, there was a notable decline in performance, with Operating ROA dropping to -2.76% as of December 31, 2021, and further decreasing to -3.22% by December 31, 2022. These negative percentages suggest that Kaiser Aluminum Corporation's operating assets were not effectively utilized to generate operating income during these periods.
However, the company exhibited a significant turnaround in its performance by December 31, 2023, achieving an Operating ROA of 4.23%, indicating a notable improvement in generating operating income relative to its assets. This positive trend continued into December 31, 2024, with a further increase in Operating ROA to 3.79%.
Overall, Kaiser Aluminum Corporation's Operating ROA trend reflects variability in its operational efficiency and profitability over the analyzed period. The company managed to recover from negative returns and demonstrated improved utilization of its operating assets to generate operating income in the later years, showing signs of enhanced performance.
Peer comparison
Dec 31, 2024