American Eagle Outfitters Inc (AEO)

Operating return on assets (Operating ROA)

Jan 31, 2025 Feb 3, 2024 Jan 31, 2024 Jan 31, 2023 Jan 28, 2023
Operating income US$ in thousands 427,303 222,717 222,717 247,047 247,047
Total assets US$ in thousands 3,830,780 3,557,910 3,557,910 3,420,960 3,420,960
Operating ROA 11.15% 6.26% 6.26% 7.22% 7.22%

January 31, 2025 calculation

Operating ROA = Operating income ÷ Total assets
= $427,303K ÷ $3,830,780K
= 11.15%

American Eagle Outfitters Inc's operating return on assets (ROA) indicates the efficiency with which the company is generating operating profit relative to its total assets.

From January 28, 2023, to February 3, 2024, the operating ROA remained consistent around 7.22% to 6.26%. However, there was a notable increase in the operating ROA in January 31, 2025, reaching 11.15%.

This improvement in operating ROA in 2025 suggests that American Eagle Outfitters Inc has become more efficient in generating operating profit from its assets, which could be attributed to better operational performance and/or effective utilization of its assets during that period.

Overall, the fluctuation in operating ROA over the years indicates the company's ability to generate profits from its assets, with the significant increase in 2025 reflecting a notable positive trend in operational efficiency and asset utilization.