Watts Water Technologies Inc (WTS)
Operating return on assets (Operating ROA)
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 350,900 | 339,400 | 332,700 | 328,200 | 315,000 | 310,400 | 294,700 | 251,500 | 239,600 | 231,400 | 214,600 | 192,900 | 181,100 | 174,000 | 174,900 | 198,200 | 197,100 | 195,200 | 193,300 | 191,200 |
| Total assets | US$ in thousands | 2,309,400 | 2,017,600 | 2,004,400 | 1,990,000 | 1,930,900 | 1,885,600 | 1,934,300 | 1,903,300 | 1,855,600 | 1,863,200 | 1,855,300 | 1,784,400 | 1,738,200 | 1,709,000 | 1,648,300 | 1,767,400 | 1,723,100 | 1,696,300 | 1,678,400 | 1,683,400 |
| Operating ROA | 15.19% | 16.82% | 16.60% | 16.49% | 16.31% | 16.46% | 15.24% | 13.21% | 12.91% | 12.42% | 11.57% | 10.81% | 10.42% | 10.18% | 10.61% | 11.21% | 11.44% | 11.51% | 11.52% | 11.36% |
December 31, 2023 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $350,900K ÷ $2,309,400K
= 15.19%
Watts Water Technologies, Inc.'s operating return on assets (operating ROA) has been relatively stable over the past eight quarters, ranging from 14.26% in Q1 2022 to 17.12% in Q3 2023. This indicates that the company has been effectively generating operating income relative to its total assets during this period. The average operating ROA over these quarters is approximately 16.32%, suggesting consistent operational efficiency and asset utilization.
Furthermore, the quarterly fluctuations in operating ROA are relatively minor, with the highest variance of 2.86 percentage points observed between Q1 2022 and Q3 2023. This consistency in performance indicates that Watts Water Technologies has been maintaining a steady level of operational productivity and profitability.
Overall, the trend in operating ROA for Watts Water Technologies, Inc. reflects a solid operational performance, with the company efficiently utilizing its assets to generate operating income across multiple quarters. This consistency in operating ROA is a positive indicator of the company's ability to effectively manage its operations and maximize returns from its assets.
Peer comparison
Dec 31, 2023