Boston Beer Company Inc (SAM)
Operating return on assets (Operating ROA)
| Dec 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 75,973 | 106,075 | 121,744 | 129,299 | 100,001 | 109,122 | 85,986 | 79,001 | 90,791 | 34,665 | -79,474 | -70,754 | 7,998 | 123,055 | 300,609 | 299,273 | 244,207 | 219,784 | 177,839 | 137,002 |
| Total assets | US$ in thousands | 1,250,020 | 1,381,990 | 1,435,450 | 1,384,190 | 1,429,990 | 1,516,890 | 1,492,550 | 1,392,510 | 1,420,770 | 1,530,700 | 1,480,470 | 1,390,000 | 1,386,780 | 1,463,530 | 1,560,950 | 1,464,170 | 1,378,820 | 1,312,340 | 1,208,250 | 1,193,560 |
| Operating ROA | 6.08% | 7.68% | 8.48% | 9.34% | 6.99% | 7.19% | 5.76% | 5.67% | 6.39% | 2.26% | -5.37% | -5.09% | 0.58% | 8.41% | 19.26% | 20.44% | 17.71% | 16.75% | 14.72% | 11.48% |
December 31, 2024 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $75,973K ÷ $1,250,020K
= 6.08%
The operating return on assets (operating ROA) is a key financial ratio that measures a company's efficiency in generating operating profits relative to its total assets.
Analyzing Boston Beer Company Inc's operating ROA data over the given period reveals fluctuations in the company's operational efficiency. The trend shows that operating ROA increased steadily from March 31, 2020, to December 31, 2021, reaching its peak at 20.44% on March 31, 2021. During this period, the company demonstrated an improvement in utilizing its assets to generate operating profits.
However, starting from September 30, 2021, Boston Beer Company Inc's operating ROA experienced a significant decline, dropping to 0.58% on December 31, 2021. This downward trend continued into the first half of 2022, with negative operating ROA figures recorded in March and June 2022.
Subsequently, the company managed to recover its operating ROA to positive territory by September 30, 2022, indicating an improvement in profitability relative to its assets. The positive trend continued through December 31, 2022, showing a gradual increase in operating ROA.
From March 31, 2023, to December 31, 2024, Boston Beer Company Inc's operating ROA fluctuated within a range, without returning to the peak levels seen in early 2021. The company maintained a moderate level of operating efficiency, with the ratio ranging from 5.67% to 9.34% during this period.
Overall, the analysis of Boston Beer Company Inc's operating ROA highlights both periods of strong operational efficiency and challenges in asset utilization. It is crucial for the company to focus on optimizing its operational performance to enhance its profitability and ensure sustainable growth in the future.
Peer comparison
Dec 31, 2024