Koppers Holdings Inc (KOP)

Operating return on assets (Operating ROA)

Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022 Dec 31, 2021 Sep 30, 2021 Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020
Operating income (ttm) US$ in thousands 145,400 175,300 178,900 177,100 194,300 185,600 175,100 149,800 137,700 153,800 135,600 150,800 156,500 147,600 181,600 187,000 156,700 146,200 127,200 116,000
Total assets US$ in thousands 1,890,200 1,959,600 1,948,000 1,845,300 1,835,500 1,810,200 1,815,700 1,800,600 1,711,400 1,652,700 1,687,300 1,731,800 1,661,900 1,652,200 1,674,000 1,648,900 1,598,600 1,534,400 1,555,800 1,573,100
Operating ROA 7.69% 8.95% 9.18% 9.60% 10.59% 10.25% 9.64% 8.32% 8.05% 9.31% 8.04% 8.71% 9.42% 8.93% 10.85% 11.34% 9.80% 9.53% 8.18% 7.37%

December 31, 2024 calculation

Operating ROA = Operating income (ttm) ÷ Total assets
= $145,400K ÷ $1,890,200K
= 7.69%

The operating return on assets (Operating ROA) is a key financial ratio that measures a company's ability to generate operating profit from its assets. For Koppers Holdings Inc, the Operating ROA has shown some variation over the past few quarters:

1. From March 31, 2020, to December 31, 2021, the Operating ROA generally increased from 7.37% to 9.42%. This suggests an improvement in the company's ability to generate operating profit relative to its total assets.

2. However, from March 31, 2022, to December 31, 2024, the Operating ROA fluctuated within a range of 7.69% to 10.59%. The ratio peaked at 11.34% on March 31, 2021, and reached its lowest point of 7.69% on December 31, 2024.

3. Overall, the Operating ROA for Koppers Holdings Inc displayed some volatility, indicating potential challenges in consistently generating operating profit relative to its asset base. It would be beneficial for the company to closely monitor trends in this ratio and investigate the factors contributing to the fluctuations to enhance operational efficiency and profitability.


Peer comparison

Dec 31, 2024

Company name
Symbol
Operating ROA
Koppers Holdings Inc
KOP
7.69%
Louisiana-Pacific Corporation
LPX
20.63%
Trex Company Inc
TREX
23.08%