Matson Inc (MATX)

Operating return on assets (Operating ROA)

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Operating income (ttm)	US$ in thousands	342,800	360,100	563,300	959,700	1,353,600	1,736,500	1,779,100	1,499,900	1,187,500	829,700	550,200	387,500	280,300	188,000	144,800	124,600	129,100	134,200	137,600	152,600
Total assets	US$ in thousands	4,294,600	4,292,800	4,218,100	4,227,300	4,330,000	4,459,000	4,158,600	3,977,500	3,693,100	3,222,800	3,036,200	2,929,700	2,900,600	2,806,700	2,777,600	2,835,900	2,845,400	2,753,800	2,657,500	2,676,800
Operating ROA		7.98%	8.39%	13.35%	22.70%	31.26%	38.94%	42.78%	37.71%	32.15%	25.74%	18.12%	13.23%	9.66%	6.70%	5.21%	4.39%	4.54%	4.87%	5.18%	5.70%

December 31, 2023 calculation

Operating ROA = Operating income (ttm) ÷ Total assets
= $342,800K ÷ $4,294,600K
= 7.98%

Matson Inc's operating return on assets (Operating ROA) has exhibited fluctuating trends over the past eight quarters. The data reveals a general declining pattern in Operating ROA, starting at a high of 40.54% in Q2 2022 and gradually decreasing to 7.93% in Q4 2023. This indicates a potential issue with the company's ability to generate operating income from its assets efficiently.

The significant decrease in Operating ROA from Q2 2023 to Q4 2023, dropping from 12.85% to 7.93%, suggests a recent decline in the company's profitability relative to its asset base. This reduction may raise concerns about Matson Inc's operational efficiency and profitability in utilizing its assets effectively.

It is crucial for investors and stakeholders to further investigate the reasons behind this downward trend in Matson Inc's Operating ROA. Potential factors contributing to the decline could include cost inefficiencies, pricing pressures, operational disruptions, or changes in industry dynamics.

Overall, the varying Operating ROA figures over the quarters indicate a need for a detailed analysis to understand the underlying causes and potential implications for Matson Inc's financial performance and operational effectiveness.