Nexstar Broadcasting Group Inc (NXST)
Return on assets (ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 346,000 | 971,000 | 834,500 | 811,500 | 230,259 |
| Total assets | US$ in thousands | 12,078,000 | 12,679,000 | 13,264,500 | 13,404,300 | 13,989,700 |
| ROA | 2.86% | 7.66% | 6.29% | 6.05% | 1.65% |
December 31, 2023 calculation
ROA = Net income ÷ Total assets
= $346,000K ÷ $12,078,000K
= 2.86%
Nexstar Media Group Inc's return on assets (ROA) has shown some fluctuations over the past five years. In 2023, the company's ROA decreased to 2.86% from 7.66% in 2022, indicating a decline in the company's ability to generate profits from its assets. This decrease may raise concerns about the company's operational efficiency and asset utilization.
Comparing the ROA to previous years, the 2023 figure of 2.86% is notably lower than the 6.29% and 6.05% ROA recorded in 2021 and 2020, respectively. Despite the decline in 2023, the company's ROA remains higher than the 1.65% recorded in 2019, suggesting an overall improvement in asset utilization since that time.
Overall, the decreasing trend in ROA from 2022 to 2023 may require further investigation into the company's financial performance and operational efficiency. Investors and stakeholders should closely monitor Nexstar Media Group Inc's future financial statements to assess whether this decline is a temporary anomaly or a more concerning long-term issue.
Peer comparison
Dec 31, 2023