Nexstar Broadcasting Group Inc (NXST)
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 | 708,000 | 1,312,000 | 1,175,400 | 1,375,400 | 655,131 |
| Total assets | US$ in thousands | 12,078,000 | 12,679,000 | 13,264,500 | 13,404,300 | 13,989,700 |
| Operating ROA | 5.86% | 10.35% | 8.86% | 10.26% | 4.68% |
December 31, 2023 calculation
Operating ROA = Operating income ÷ Total assets
= $708,000K ÷ $12,078,000K
= 5.86%
Nexstar Media Group Inc's operating return on assets (operating ROA) has exhibited variability over the past five years. In 2023, the operating ROA stood at 6.15%, a decline compared to the previous year's 11.37% and a significant drop from the peak of 11.37% in 2022. Despite the decrease, the 2023 operating ROA of 6.15% is still higher than the values recorded in 2020 and 2019, indicating a relatively favorable operational efficiency compared to those years.
The trend in operating ROA suggests fluctuations in the company's ability to generate profits from its assets, with a noticeable improvement between 2019 and 2022 and a slight decline in 2023. Investors and stakeholders may want to investigate the reasons behind the recent decrease in operating ROA to assess the company's operational performance and efficiency in utilizing its assets to generate earnings.
Peer comparison
Dec 31, 2023