MGP Ingredients Inc (MGPI)
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 | 148,613 | 135,256 | 149,281 | 140,444 | 148,965 | 164,566 | 163,586 | 155,943 | 126,363 | 96,590 | 77,358 | 61,033 | 54,241 | 54,949 | 52,901 | 52,437 | 47,242 | 47,603 | 48,014 | 48,272 |
| Total assets | US$ in thousands | 1,392,350 | 1,366,360 | 1,395,130 | 1,184,190 | 1,158,210 | 1,132,080 | 1,106,620 | 1,076,820 | 1,041,470 | 1,017,470 | 1,014,300 | 381,102 | 366,575 | 361,746 | 357,013 | 382,402 | 322,597 | 307,020 | 298,724 | 290,100 |
| Operating ROA | 10.67% | 9.90% | 10.70% | 11.86% | 12.86% | 14.54% | 14.78% | 14.48% | 12.13% | 9.49% | 7.63% | 16.01% | 14.80% | 15.19% | 14.82% | 13.71% | 14.64% | 15.50% | 16.07% | 16.64% |
December 31, 2023 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $148,613K ÷ $1,392,350K
= 10.67%
The operating return on assets (ROA) for MGP Ingredients, Inc. has exhibited fluctuations over the past eight quarters. The company's operating ROA ranged from a low of 10.54% in Q2 2023 to a high of 13.16% in Q2 2022, with variability observed across the quarters. Overall, the operating ROA has generally been in the double-digit range, indicating that the company has been effective in generating operating profits relative to its total assets.
The downward trend observed from Q2 2022 to Q2 2023 may suggest potential challenges in maintaining or improving operational efficiency and profitability. However, the recent uptick in Q4 2023 to 12.55% indicates a slight improvement compared to the previous quarter. It would be important for MGP Ingredients, Inc. to closely monitor and analyze the factors driving these fluctuations to sustain or enhance its operating ROA in the future.