Masco Corporation (MAS)
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 | 1,348,000 | 1,297,000 | 1,405,000 | 1,295,000 | 1,088,000 |
| Total assets | US$ in thousands | 5,363,000 | 5,187,000 | 5,575,000 | 5,777,000 | 5,027,000 |
| Operating ROA | 25.14% | 25.00% | 25.20% | 22.42% | 21.64% |
December 31, 2023 calculation
Operating ROA = Operating income ÷ Total assets
= $1,348,000K ÷ $5,363,000K
= 25.14%
Masco Corp.'s operating return on assets (ROA) has shown a positive trend over the past five years, increasing from 21.82% in 2019 to 25.39% in 2023. This indicates that the company has been effectively utilizing its assets to generate operating profits.
The relatively stable and increasing trend in operating ROA suggests that Masco Corp. has been efficient in managing its assets to generate operating income. The consistent performance of operating ROA above 20% indicates strong operational efficiency and effective utilization of assets to drive profitability.
Overall, Masco Corp.'s consistently high operating ROA reflects the company's ability to generate significant operating income relative to its total assets, which is a positive indicator of its operational performance and financial health.
Peer comparison
Dec 31, 2023