NewJersey Resources Corporation (NJR)

Return on assets (ROA)

		Sep 30, 2024	Sep 30, 2023	Sep 30, 2022	Sep 30, 2021	Sep 30, 2020
Net income	US$ in thousands	289,775	264,724	274,922	117,890	163,007
Total assets	US$ in thousands	6,981,640	6,537,500	6,261,420	5,722,280	5,316,480
ROA		4.15%	4.05%	4.39%	2.06%	3.07%

September 30, 2024 calculation

ROA = Net income ÷ Total assets
= $289,775K ÷ $6,981,640K
= 4.15%

NewJersey Resources Corporation's return on assets (ROA) has shown variability over the past five years. The ROA for the most recent period as of September 30, 2024, was 4.15%, which represents a slight increase compared to the previous year's ROA of 4.05%. The company's ROA was highest in September 30, 2022, at 4.39%, indicating a peak in profitability generated from its assets. In contrast, the ROA was lower in September 30, 2021, at 2.06%, and then showed some improvement in September 30, 2020, at 3.07%.

Overall, NewJersey Resources Corporation has been able to effectively generate returns from its assets, with the ROA consistently above 2% in the past five years. The fluctuation in ROA over this period suggests that the company's asset utilization and profitability have varied, with a notable peak in 2022. Continuous monitoring and analysis of ROA can help stakeholders assess the company's efficiency in generating profits relative to its asset base.