Name: Return on Assets (ROA)

Definition: ROA shows how efficiently the company turns everything it owns — its entire asset base — into net profit after all costs and taxes. A higher ROA means the business squeezes more profit from its assets. Lower ROA might reflect poor asset utilization or heavy reliance on expensive financing.

Interpretation:
• In '2021', CWCO's return on assets was 0.5%, representing returns generated from total assets. Industry average for Water Supply in '2021' stood at -0.4%.
• In '2022', CWCO's return on assets was 3.2%, representing returns generated from total assets. The increase since '2021' reflects strengthening financial performance. Industry average for Water Supply in '2022' stood at -0.0%. Industry average increased by 0.3% compared to previous year.
• In '2023', CWCO's return on assets was 14.4%, representing returns generated from total assets. The increase since '2022' reflects strengthening financial performance. Industry average for Water Supply in '2023' stood at -0.5%. Industry average declined by 0.4% from previous year.
• In '2024', CWCO's return on assets was 12.2%, representing returns generated from total assets. The decline from '2023' may indicate some operational or financial challenges. Industry average for Water Supply in '2024' stood at 0.8%. Industry average increased by 1.3% compared to previous year.
Overall, CWCO's return on assets has been volatile but showed an upward trend over the past 4 years.

Formula: ROA = Net Income / Total Assets

Good Range: Commonly 5%-15%.