SPS Commerce Inc (SPSC)
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 | 77,248 | 71,182 | 55,085 | 50,158 | 38,406 |
| Total assets | US$ in thousands | 823,844 | 672,914 | 615,846 | 526,458 | 447,440 |
| Operating ROA | 9.38% | 10.58% | 8.94% | 9.53% | 8.58% |
December 31, 2023 calculation
Operating ROA = Operating income ÷ Total assets
= $77,248K ÷ $823,844K
= 9.38%
The operating return on assets (operating ROA) for SPS Commerce Inc. has exhibited some fluctuations over the past five years. In 2023, the operating ROA stood at 9.38%, showing a slight decrease from the previous year's figure of 10.58%. Despite this decline, the company's operating ROA in 2023 remained relatively strong compared to 2021 and 2019, where it was 8.94% and 8.58% respectively.
Overall, the company has been able to generate a reasonable return on its assets over the years, with operating ROA generally hovering around the 9% mark. This indicates that SPS Commerce Inc. has been effective in utilizing its assets to generate operating profits, albeit showing some variability in performance from year to year.
Peer comparison
Dec 31, 2023