PPG Industries Inc (PPG)
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 | 2,287,000 | 2,784,000 | 1,722,000 | 1,822,000 | 1,789,000 |
| Total assets | US$ in thousands | 19,433,000 | 21,647,000 | 20,744,000 | 21,351,000 | 19,556,000 |
| Operating ROA | 11.77% | 12.86% | 8.30% | 8.53% | 9.15% |
December 31, 2024 calculation
Operating ROA = Operating income ÷ Total assets
= $2,287,000K ÷ $19,433,000K
= 11.77%
Based on the provided data, the operating return on assets (operating ROA) for PPG Industries Inc has shown some fluctuations over the years.
As of December 31, 2020, the operating ROA was 9.15%, indicating that the company generated $9.15 in operating income for every $100 of assets it had. This figure decreased slightly to 8.53% by December 31, 2021, before dropping further to 8.30% by December 31, 2022.
However, there was a significant improvement in the operating ROA by December 31, 2023, where it surged to 12.86%, suggesting that the company became more efficient in generating operating income from its assets. By December 31, 2024, the operating ROA decreased slightly to 11.77%, but remained higher compared to the previous two years.
Overall, the trend in PPG Industries Inc's operating ROA indicates some variability, with a notable increase in 2023 and relatively stable performance in the subsequent year. Understanding the factors contributing to these fluctuations could provide valuable insights into the company's operational efficiency and profitability.
Peer comparison
Dec 31, 2024