Northrop Grumman Corporation (NOC)
Return on assets (ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 2,056,000 | 4,896,000 | 7,005,000 | 3,189,000 | 2,248,000 |
| Total assets | US$ in thousands | 46,544,000 | 43,755,000 | 42,579,000 | 44,469,000 | 41,089,000 |
| ROA | 4.42% | 11.19% | 16.45% | 7.17% | 5.47% |
December 31, 2023 calculation
ROA = Net income ÷ Total assets
= $2,056,000K ÷ $46,544,000K
= 4.42%
Based on the provided data, Northrop Grumman Corp.'s return on assets (ROA) has fluctuated over the past five years. The ROA was 4.42% as of December 31, 2023, compared to 11.19% and 16.45% in 2022 and 2021, respectively. The decrease in ROA from 2021 to 2023 suggests a decline in the company's ability to generate earnings from its assets. However, the ROA in 2023 is still higher than in 2020 and 2019, indicating a potential recovery from the lower ROA levels seen in those years. Overall, the downward trend from 2021 to 2023 warrants further investigation into the company's asset utilization and profitability.
Peer comparison
Dec 31, 2023