Vishay Intertechnology Inc (VSH)
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 | 486,144 | 615,486 | 467,802 | 209,710 | 262,430 |
| Total assets | US$ in thousands | 4,239,920 | 3,865,650 | 3,543,260 | 3,154,470 | 3,120,780 |
| Operating ROA | 11.47% | 15.92% | 13.20% | 6.65% | 8.41% |
December 31, 2023 calculation
Operating ROA = Operating income ÷ Total assets
= $486,144K ÷ $4,239,920K
= 11.47%
Vishay Intertechnology, Inc. has shown some variability in its operating return on assets (operating ROA) over the past five years. The operating ROA figures were 11.47% in 2023, 15.92% in 2022, 13.20% in 2021, 6.67% in 2020, and 9.18% in 2019.
The operating ROA indicates the efficiency of the company in generating profits from its operational assets. A higher operating ROA is generally preferred as it signifies that the company is utilizing its assets effectively to generate profits.
The declining trend observed in 2020 could suggest potential inefficiencies or financial challenges faced by the company during that period. However, the subsequent increase in 2021 and 2022 indicates an improvement in operational performance and asset utilization.
It is essential for Vishay Intertechnology, Inc. to continue monitoring and striving to maintain a consistent and increasing operating ROA over time to ensure sustainable profitability and operational efficiency.
Peer comparison
Dec 31, 2023