Materion Corporation (MTRN)
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 | 136,444 | 119,755 | 77,111 | 8,215 | 70,546 |
| Total assets | US$ in thousands | 1,762,730 | 1,691,980 | 1,607,480 | 1,057,860 | 898,430 |
| Operating ROA | 7.74% | 7.08% | 4.80% | 0.78% | 7.85% |
December 31, 2023 calculation
Operating ROA = Operating income ÷ Total assets
= $136,444K ÷ $1,762,730K
= 7.74%
Materion Corp's operating return on assets (operating ROA) has shown fluctuating performance over the past five years. In 2019, the operating ROA was high at 9.75%, indicating efficient management in generating operating income from its assets. However, in 2020, there was a decline to 2.59%, reflecting a significant decrease in profitability relative to its assets.
The company experienced a moderate improvement in 2021, with the operating ROA increasing to 4.86%, suggesting some recovery in operational efficiency. This positive trend continued in 2022, with the operating ROA rising further to 7.15%.
In the most recent year, 2023, Materion Corp's operating ROA reached 7.95%, indicating a continued improvement in utilizing its assets to generate operating profits. Overall, the company has shown resilience and the ability to enhance its operational performance and efficiency over the years, as evidenced by the upward trend in operating ROA from 2020 to 2023.