UFP Technologies Inc (UFPT)

Return on assets (ROA)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	US$ in thousands	44,924	41,789	15,886	13,369	19,750
Total assets	US$ in thousands	404,136	378,192	334,132	203,204	188,758
ROA		11.12%	11.05%	4.75%	6.58%	10.46%

December 31, 2023 calculation

ROA = Net income ÷ Total assets
= $44,924K ÷ $404,136K
= 11.12%

UFP Technologies Inc's return on assets (ROA) has shown fluctuating trends over the past five years. In 2023, the ROA increased to 11.12% compared to 11.05% in 2022. This improvement indicates that the company generated a higher return relative to its total assets, which is a positive sign for efficiency and profitability.

However, it is important to note that the ROA was higher in 2019 at 10.46% compared to the recent years. In 2021, there was a significant drop in ROA to 4.75%, indicating a temporary decline in asset utilization efficiency.

Overall, UFP Technologies Inc's ROA has shown some variability over the years, suggesting fluctuations in its ability to generate profits from its asset base. Further analysis and comparison with industry benchmarks could provide more insights into the company's performance in utilizing its assets effectively to generate returns for its stakeholders.