National Presto Industries Inc (NPK)
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 | 35,033 | 22,127 | 30,029 | 56,196 | 46,380 |
| Total assets | US$ in thousands | 440,536 | 411,847 | 420,398 | 433,170 | 410,253 |
| Operating ROA | 7.95% | 5.37% | 7.14% | 12.97% | 11.31% |
December 31, 2023 calculation
Operating ROA = Operating income ÷ Total assets
= $35,033K ÷ $440,536K
= 7.95%
National Presto Industries Inc's operating return on assets (operating ROA) has shown fluctuations over the past five years. In 2023, the operating ROA increased to 7.95% from 5.37% in 2022. While this represents an improvement, it is still lower than the levels seen in 2020 and 2019 when the operating ROA was 12.97% and 11.31%, respectively.
The trend indicates that the company's ability to generate operating income from its assets has been somewhat volatile in recent years. The dip in operating ROA in 2022 followed by the rebound in 2023 suggests potential variability in the company's operational efficiency and profitability.
It is essential for stakeholders to monitor National Presto Industries Inc's operating ROA closely to assess its operational performance and asset utilization efficiency. Further analysis of the company's operational and financial strategies may be necessary to understand the underlying factors driving the changes in operating ROA and to identify opportunities for improvement.
Peer comparison
Dec 31, 2023