KBR Inc (KBR)
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 | 448,000 | 343,000 | 231,000 | 57,000 | 362,000 |
| Total assets | US$ in thousands | 5,565,000 | 5,566,000 | 6,204,000 | 5,705,000 | 5,360,000 |
| Operating ROA | 8.05% | 6.16% | 3.72% | 1.00% | 6.75% |
December 31, 2023 calculation
Operating ROA = Operating income ÷ Total assets
= $448,000K ÷ $5,565,000K
= 8.05%
Analyzing KBR Inc's operating return on assets (ROA) over the past five years reveals fluctuations in the company's efficiency in generating operating income from its total assets. The trend shows a notable improvement in 2023 compared to the preceding years. The operating ROA increased from 6.75% in 2019 to 8.05% in 2023, indicating enhanced operational efficiency and profitability. This rise suggests that KBR Inc has been able to generate more operating income for each dollar of assets employed, signaling enhanced asset utilization or cost management. The company's performance in 2023 outpaced the average operating ROA seen over the previous four years, showcasing a positive trajectory and potentially improved operational effectiveness.
Peer comparison
Dec 31, 2023