Westinghouse Air Brake Technologies Corp (WAB)
Return on assets (ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 815,000 | 633,000 | 558,000 | 414,000 | 327,000 |
| Total assets | US$ in thousands | 18,988,000 | 18,516,000 | 18,454,000 | 18,454,000 | 18,944,200 |
| ROA | 4.29% | 3.42% | 3.02% | 2.24% | 1.73% |
December 31, 2023 calculation
ROA = Net income ÷ Total assets
= $815,000K ÷ $18,988,000K
= 4.29%
Westinghouse Air Brake Technologies Corp's return on assets (ROA) has shown a positive trend over the past five years. The ROA increased from 1.72% in 2019 to 4.29% in 2023. This indicates that the company has been generating more net income relative to its total assets, which is a positive sign of efficiency and profitability.
The consistent improvement in ROA from 2019 to 2023 suggests that Westinghouse Air Brake Technologies Corp has been effectively utilizing its assets to generate profits. This could be due to factors such as effective cost management, increased sales, or better operational efficiency.
Overall, the increasing trend in ROA indicates that Westinghouse Air Brake Technologies Corp has been successful in generating more profits from its asset base over the years, which could be seen as a positive indicator for investors and stakeholders.
Peer comparison
Dec 31, 2023