Shenandoah Telecommunications Co (SHEN)
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 | -28,591 | 9,624 | 5,026 | 12,996 | -1,147 |
| Total assets | US$ in thousands | 1,740,270 | 1,214,230 | 977,719 | 890,733 | 2,031,710 |
| Operating ROA | -1.64% | 0.79% | 0.51% | 1.46% | -0.06% |
December 31, 2024 calculation
Operating ROA = Operating income ÷ Total assets
= $-28,591K ÷ $1,740,270K
= -1.64%
The operating return on assets (ROA) for Shenandoah Telecommunications Co has shown fluctuating performance over the past five years. In December 2020, the company reported a negative operating ROA of -0.06%, indicating that its operating income was insufficient to generate a positive return relative to its assets.
However, there was a significant improvement in December 2021, with the operating ROA jumping to 1.46%, suggesting that the company managed to generate more income from its operations relative to its asset base. The positive trend continued into December 2022 and December 2023, with operating ROA figures of 0.51% and 0.79% respectively.
Unfortunately, in December 2024, the operating ROA dropped sharply to -1.64%, indicating a decline in the company's ability to generate operating income efficiently relative to its assets. This negative performance may raise concerns about the company's operational efficiency and profitability in that particular year.
Overall, while there were periods of improvement in operating ROA for Shenandoah Telecommunications Co, the negative figure in 2024 suggests a need for further analysis and potential strategic adjustments to enhance operational performance and efficiency in the coming periods.
Peer comparison
Dec 31, 2024