Essential Utilities Inc (WTRG)

Return on assets (ROA)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	US$ in thousands	498,226	465,237	431,612	284,849	224,543
Total assets	US$ in thousands	16,841,500	15,719,100	14,658,300	13,705,300	9,361,980
ROA		2.96%	2.96%	2.94%	2.08%	2.40%

December 31, 2023 calculation

ROA = Net income ÷ Total assets
= $498,226K ÷ $16,841,500K
= 2.96%

Essential Utilities Inc's return on assets (ROA) has shown a generally positive trend over the past five years. The ROA increased from 2.40% in 2019 to 2.96% in 2020 and remained stable at the same level in 2022 and 2023. This indicates that the company has been able to effectively utilize its assets to generate profits. In 2021, there was a slight decrease in ROA to 2.94%, but it still remained relatively high compared to the base year. Overall, Essential Utilities Inc's ROA performance demonstrates a consistent ability to generate earnings relative to the size of its asset base.