Republic Services Inc (RSG)
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 | 2,780,200 | 2,391,700 | 2,076,200 | 1,709,100 | 1,787,200 |
| Total assets | US$ in thousands | 31,410,100 | 29,052,900 | 24,955,000 | 23,434,000 | 22,683,800 |
| Operating ROA | 8.85% | 8.23% | 8.32% | 7.29% | 7.88% |
December 31, 2023 calculation
Operating ROA = Operating income ÷ Total assets
= $2,780,200K ÷ $31,410,100K
= 8.85%
The operating return on assets (operating ROA) of Republic Services, Inc. has shown a generally positive trend over the past five years, increasing from 7.38% in 2019 to 8.66% in 2023. This indicates that the company has been effectively utilizing its assets to generate operating income.
The gradual improvement in operating ROA suggests that Republic Services has been able to enhance its operational efficiency and profitability over the years. A higher operating ROA reflects the company's ability to generate more operating income relative to its total assets, which is a positive indicator of financial performance.
Overall, the increasing trend in Republic Services' operating ROA demonstrates the company's effectiveness in managing its assets to drive operational profitability, which can be seen as a favorable signal for investors and stakeholders.
Peer comparison
Dec 31, 2023