Powell Industries Inc (POWL)
Operating return on assets (Operating ROA)
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 178,773 | 152,461 | 116,725 | 87,310 | 62,520 | 43,078 | 22,375 | 12,604 | 7,224 | 726 | -1,482 | -2,952 | 1,018 | 1,137 | 5,280 | 15,732 | 19,071 | 22,771 | 25,627 | 17,515 |
| Total assets | US$ in thousands | 928,180 | 868,983 | 849,618 | 807,949 | 752,242 | 671,098 | 587,096 | 513,672 | 493,380 | 451,804 | 439,705 | 423,800 | 436,192 | 421,961 | 440,748 | 448,310 | 472,278 | 487,198 | 446,597 | 466,451 |
| Operating ROA | 19.26% | 17.54% | 13.74% | 10.81% | 8.31% | 6.42% | 3.81% | 2.45% | 1.46% | 0.16% | -0.34% | -0.70% | 0.23% | 0.27% | 1.20% | 3.51% | 4.04% | 4.67% | 5.74% | 3.75% |
September 30, 2024 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $178,773K ÷ $928,180K
= 19.26%
Operating return on assets (operating ROA) is a key financial metric that indicates how efficiently a company generates profits from its assets used in operations. Powell Industries Inc's operating ROA has shown a positive trend over the past few quarters, improving from negative values to 19.26% in the most recent quarter, ending Sep 30, 2024.
This improvement suggests that Powell Industries Inc has been able to enhance its operational efficiency and profitability relative to its asset base. The company's ability to generate higher returns on its assets is a positive sign for investors and creditors, indicating better management of resources and potential for sustainable growth.
The consistent positive trend in operating ROA demonstrates Powell Industries Inc's commitment to enhancing operational performance and utilizing its assets effectively to drive profitability. It is important for the company to sustain this improvement in operating ROA to ensure long-term financial health and create value for its stakeholders.
Peer comparison
Sep 30, 2024