Northrop Grumman Corporation (NOC)
Operating return on assets (Operating ROA)
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 4,370,000 | 2,888,000 | 2,784,000 | 2,661,000 | 2,537,000 | 3,836,000 | 3,664,000 | 3,651,000 | 3,601,000 | 3,437,000 | 3,636,000 | 3,726,000 | 5,651,000 | 6,061,000 | 6,003,000 | 5,953,000 | 4,065,000 | 4,049,000 | 4,015,000 | 3,967,000 |
| Total assets | US$ in thousands | 49,359,000 | 48,289,000 | 47,670,000 | 47,818,000 | 46,544,000 | 44,896,000 | 45,609,000 | 44,244,000 | 43,755,000 | 42,733,000 | 41,914,000 | 41,903,000 | 42,579,000 | 42,346,000 | 42,142,000 | 41,423,000 | 44,469,000 | 44,772,000 | 43,475,000 | 43,203,000 |
| Operating ROA | 8.85% | 5.98% | 5.84% | 5.56% | 5.45% | 8.54% | 8.03% | 8.25% | 8.23% | 8.04% | 8.67% | 8.89% | 13.27% | 14.31% | 14.24% | 14.37% | 9.14% | 9.04% | 9.24% | 9.18% |
December 31, 2024 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $4,370,000K ÷ $49,359,000K
= 8.85%
Operating return on assets (Operating ROA) is a financial ratio that measures a company's operating profitability relative to its total assets. For Northrop Grumman Corporation, the Operating ROA fluctuated over the provided periods.
From March 31, 2020, to June 30, 2021, the Operating ROA showed a steady increase from 9.18% to 14.24%, indicating a positive trend in the company's operating efficiency and profitability. However, there was a slight dip in the ratio as of September 30, 2021.
In the subsequent quarters, from December 31, 2021, to December 31, 2024, the Operating ROA displayed more volatility with fluctuations between 5.45% and 8.85%. This suggests some inconsistency in the company's ability to generate operating profits relative to its assets during this period.
The decreasing trend observed towards the end of 2024 may raise concerns about Northrop Grumman Corporation's operating efficiency and asset utilization. Further analysis of the company's financial performance and operational strategies would be necessary to assess the underlying reasons for these fluctuations in the Operating ROA.
Peer comparison
Dec 31, 2024