Middlesex Water Company (MSEX)
Operating return on assets (Operating ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 53,210 | 39,223 | 47,333 | 33,211 | 37,420 |
| Total assets | US$ in thousands | 1,255,170 | 1,236,050 | 1,074,450 | 1,020,020 | 976,470 |
| Operating ROA | 4.24% | 3.17% | 4.41% | 3.26% | 3.83% |
December 31, 2024 calculation
Operating ROA = Operating income ÷ Total assets
= $53,210K ÷ $1,255,170K
= 4.24%
The operating return on assets (operating ROA) of Middlesex Water Company has shown fluctuation over the years based on the provided data.
At December 31, 2020, the operating ROA stood at 3.83%, indicating that the company generated 3.83 cents of operating profit for every dollar of assets it had. Subsequently, by December 31, 2021, the operating ROA decreased to 3.26%, suggesting a slight decline in the company's efficiency in utilizing its assets to generate operating income.
However, the trend reversed by December 31, 2022, with the operating ROA increasing to 4.41%, indicating an improvement in the company's ability to generate operating profits from its assets. This uptick was followed by a decline in operating ROA to 3.17% by December 31, 2023, suggesting a temporary setback in asset efficiency.
Finally, as of December 31, 2024, the operating ROA rebounded to 4.24%, surpassing the previous year's level and indicating an enhanced performance in generating operating income relative to its asset base.
In conclusion, the operating ROA of Middlesex Water Company has shown variability over the years, with fluctuations reflecting changes in the company's operational efficiency and profitability in utilizing its assets effectively.
Peer comparison
Dec 31, 2024