Parsons Corp (PSN)
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 | 288,358 | 185,666 | 132,446 | 177,815 | 92,063 |
| Total assets | US$ in thousands | 4,804,060 | 4,198,140 | 3,830,940 | 3,937,700 | 3,450,370 |
| Operating ROA | 6.00% | 4.42% | 3.46% | 4.52% | 2.67% |
December 31, 2023 calculation
Operating ROA = Operating income ÷ Total assets
= $288,358K ÷ $4,804,060K
= 6.00%
Parsons Corp's operating return on assets (ROA) has shown an improving trend over the past five years, indicating better efficiency in generating operating income relative to its assets. The company's operating ROA was 6.00% in 2023, a notable increase from 4.42% in 2022 and a significant improvement compared to 3.46% in 2021. This suggests that Parsons Corp has been able to enhance its operational performance and profitability in utilizing its assets effectively. The rise in operating ROA from 2022 to 2023 indicates that the company has managed to significantly increase its operating income generated per dollar of assets. Overall, the rising trend in operating ROA reflects positively on Parsons Corp's operational efficiency and profitability in recent years.
Peer comparison
Dec 31, 2023