NV5 Global Inc (NVEE)
Operating return on assets (Operating ROA)
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 61,180 | 57,203 | 60,452 | 62,614 | 66,183 | 74,763 | 75,390 | 71,342 | 68,343 | 56,625 | 51,913 | 44,323 | 44,150 | 99,599 | 93,186 | 91,821 | 89,850 | 78,930 | 81,079 | 80,832 |
| Total assets | US$ in thousands | 1,170,590 | 1,205,960 | 1,167,830 | 1,089,870 | 935,723 | 962,139 | 946,960 | 959,853 | 961,943 | 960,884 | 933,403 | 896,331 | 881,175 | 883,324 | 897,115 | 891,418 | 893,137 | 625,693 | 504,447 | 476,697 |
| Operating ROA | 5.23% | 4.74% | 5.18% | 5.75% | 7.07% | 7.77% | 7.96% | 7.43% | 7.10% | 5.89% | 5.56% | 4.94% | 5.01% | 11.28% | 10.39% | 10.30% | 10.06% | 12.61% | 16.07% | 16.96% |
December 31, 2023 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $61,180K ÷ $1,170,590K
= 5.23%
Operating return on assets (ROA) is a key financial ratio that measures a company's ability to generate operating profits from its assets. It is calculated by dividing operating income by average total assets.
Analyzing NV5 Global Inc's operating ROA over the provided periods shows fluctuations in the company's operational efficiency and asset utilization. The trend indicates a general decline in operating ROA from 16.96% in March 2019 to 5.23% in December 2023.
The decline in operating ROA suggests that NV5 Global Inc may be facing challenges in generating operating income relative to its asset base. This could be due to various factors such as increasing operating expenses, declining revenue growth, or inefficiencies in asset utilization.
Investors and analysts should further investigate the reasons behind the decreasing trend in operating ROA to understand the company's operational performance and sustainability in the long run.
Peer comparison
Dec 31, 2023