Parsons Corp (PSN)
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 | 405,698 | 374,050 | 339,072 | 288,358 | 264,247 | 244,920 | 201,106 | 185,666 | 179,201 | 154,925 | 142,513 | 132,446 | 127,157 | 153,691 | 179,737 | 177,815 | 160,510 | 147,688 | 92,718 | 92,063 |
| Total assets | US$ in thousands | 5,443,340 | 5,238,730 | 5,098,440 | 4,804,060 | 4,732,990 | 4,507,510 | 4,255,810 | 4,198,140 | 4,094,990 | 4,109,800 | 3,808,840 | 3,830,940 | 3,823,930 | 3,839,300 | 3,865,000 | 3,937,700 | 3,918,760 | 3,451,180 | 3,488,600 | 3,450,370 |
| Operating ROA | 7.45% | 7.14% | 6.65% | 6.00% | 5.58% | 5.43% | 4.73% | 4.42% | 4.38% | 3.77% | 3.74% | 3.46% | 3.33% | 4.00% | 4.65% | 4.52% | 4.10% | 4.28% | 2.66% | 2.67% |
September 30, 2024 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $405,698K ÷ $5,443,340K
= 7.45%
The operating return on assets (operating ROA) for Parsons Corp has shown a positive trend over the past few quarters, indicating improving operational efficiency and profitability. The ratio has steadily increased from 2.66% in December 2019 to 7.45% in September 2024. This suggests that the company is generating more operating income relative to its total assets, which is a positive sign for potential investors and stakeholders.
The consistent improvement in operating ROA reflects effective management of assets and operations to generate higher returns. It is crucial for the company to maintain this positive trajectory to sustain long-term growth and profitability. By focusing on optimizing asset utilization and enhancing operational efficiency, Parsons Corp has been able to increase its operating ROA over time.
Overall, the upward trend in operating ROA for Parsons Corp indicates that the company is on the right track in terms of operational performance and profitability, which bodes well for its financial health and future prospects.
Peer comparison
Sep 30, 2024