Sotera Health Co (SHC)
Operating return on assets (Operating ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|
| Operating income | US$ in thousands | 276,692 | 248,350 | 256,733 |
| Total assets | US$ in thousands | 3,130,420 | 3,117,700 | 2,789,500 |
| Operating ROA | 8.84% | 7.97% | 9.20% |
December 31, 2023 calculation
Operating ROA = Operating income ÷ Total assets
= $276,692K ÷ $3,130,420K
= 8.84%
Sotera Health Co's operating return on assets (ROA) has shown slight fluctuations over the past five years. In 2023, the operating ROA increased to 8.84% from 7.97% in 2022, indicating an improvement in the company's ability to generate operating profits from its assets. This positive trend followed a similar increase from 2021 to 2022.
Comparing the latest operating ROA to earlier years, we observe that it is higher than in 2020 and 2019, indicating an increasing trend in the company's operational efficiency in utilizing its assets to generate profits. However, when compared to 2021, the operating ROA was slightly lower in 2023.
Overall, the company's operating ROA has shown a general upward trend, with some fluctuations, suggesting improved operating performance and efficiency over the past five years. Further analysis may be required to understand the specific factors driving these changes and to assess the sustainability of this trend.
Peer comparison
Dec 31, 2023