Sturm Ruger & Company Inc (RGR)
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 | 31,654 | 52,084 | 103,456 | 203,136 | 119,148 |
| Total assets | US$ in thousands | 384,034 | 398,817 | 484,763 | 442,343 | 348,258 |
| Operating ROA | 8.24% | 13.06% | 21.34% | 45.92% | 34.21% |
December 31, 2024 calculation
Operating ROA = Operating income ÷ Total assets
= $31,654K ÷ $384,034K
= 8.24%
The operating return on assets (Operating ROA) of Sturm Ruger & Company Inc has exhibited fluctuating trends over the years. From 2020 to 2021, there was a substantial increase in Operating ROA from 34.21% to 45.92%, indicating improved operating efficiency and profitability relative to the company's asset base. However, the performance declined significantly in the subsequent years, with Operating ROA dropping to 21.34% in 2022, 13.06% in 2023, and further to 8.24% in 2024.
This declining trend suggests that the company may be experiencing challenges in generating operating profits relative to its assets. It is important for stakeholders to monitor this metric closely to understand the factors driving these changes and assess the company's operational efficiency and effectiveness in utilizing its assets to generate profits.
Peer comparison
Dec 31, 2024