Pinnacle West Capital Corp (PNW)
Operating return on assets (Operating ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 1,012,060 | 824,640 | 731,911 | 805,310 | 788,152 |
| Total assets | US$ in thousands | 26,102,800 | 24,661,200 | 22,723,400 | 22,003,200 | 20,020,400 |
| Operating ROA | 3.88% | 3.34% | 3.22% | 3.66% | 3.94% |
December 31, 2024 calculation
Operating ROA = Operating income ÷ Total assets
= $1,012,060K ÷ $26,102,800K
= 3.88%
Based on the provided data, Pinnacle West Capital Corp's operating return on assets (operating ROA) has experienced some fluctuations over the past five years. The operating ROA decreased from 3.94% as of December 31, 2020, to 3.66% by December 31, 2021. This downward trend continued with a further decline to 3.22% as of December 31, 2022.
However, there was a slight improvement in the operating ROA in the subsequent years. By December 31, 2023, the operating ROA had increased to 3.34%. The most recent data point, as of December 31, 2024, shows a further improvement to 3.88%.
Overall, the fluctuations in the operating ROA indicate that Pinnacle West Capital Corp's ability to generate profits from its assets has varied over the years. It would be important to further investigate the factors driving these changes in operating ROA to assess the company's operational efficiency and financial performance accurately.
Peer comparison
Dec 31, 2024