Sotera Health Co (SHC)
Return on assets (ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|
| Net income | US$ in thousands | 51,376 | -233,570 | 116,882 |
| Total assets | US$ in thousands | 3,130,420 | 3,117,700 | 2,789,500 |
| ROA | 1.64% | -7.49% | 4.19% |
December 31, 2023 calculation
ROA = Net income ÷ Total assets
= $51,376K ÷ $3,130,420K
= 1.64%
The Return on Assets (ROA) for Sotera Health Co has shown fluctuating performance over the past five years. In 2023, the ROA improved to 1.64% from a significantly negative -7.49% in 2022. This positive trend suggests better utilization of assets to generate profits. In 2021, the ROA was at 4.19%, indicating a strong performance in efficiently using assets to generate earnings. However, in 2020 and 2019, the ROA figures were negative (-1.40% and -0.81% respectively), indicating that the company faced challenges in generating profits from its assets during those years. Overall, the recent improvement in ROA is a positive sign, but the company should continue to focus on effectively managing its assets to ensure sustained profitability in the future.
Peer comparison
Dec 31, 2023