AAR Corp (AIR)
Operating return on assets (Operating ROA)
| May 31, 2024 | Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | Nov 30, 2022 | Aug 31, 2022 | May 31, 2022 | Feb 28, 2022 | Nov 30, 2021 | Aug 31, 2021 | May 31, 2021 | Feb 28, 2021 | Nov 30, 2020 | Aug 31, 2020 | May 31, 2020 | Feb 29, 2020 | Nov 30, 2019 | Aug 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 123,800 | 124,200 | 126,700 | 122,100 | 134,800 | 132,100 | 127,800 | 125,200 | 106,400 | 91,300 | 99,600 | 90,800 | 75,300 | 475,400 | 441,000 | 447,400 | 460,900 | 607,100 | 557,500 | 546,200 |
| Total assets | US$ in thousands | 2,770,000 | 2,021,800 | 1,965,600 | 1,954,400 | 1,833,100 | 1,673,300 | 1,646,900 | 1,598,900 | 1,573,900 | 1,552,000 | 1,529,600 | 1,535,700 | 1,539,700 | 1,642,800 | 1,669,300 | 1,713,800 | 2,079,000 | 1,828,900 | 1,754,900 | 1,683,100 |
| Operating ROA | 4.47% | 6.14% | 6.45% | 6.25% | 7.35% | 7.89% | 7.76% | 7.83% | 6.76% | 5.88% | 6.51% | 5.91% | 4.89% | 28.94% | 26.42% | 26.11% | 22.17% | 33.19% | 31.77% | 32.45% |
May 31, 2024 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $123,800K ÷ $2,770,000K
= 4.47%
The operating return on assets (operating ROA) for AAR Corp has shown fluctuation over the past few periods. The trend indicates that the company's ability to generate operating profits from its assets has varied. The operating ROA ranged from 4.47% to 33.19% in the provided historical data.
There was a noticeable peak in operating ROA at 33.19% in the period ending May 31, 2019, followed by another high of 32.45% in the period ending Nov 30, 2019. These high values suggest that the company was efficient in generating operating profits relative to its assets during these periods.
Subsequently, there was a decline in operating ROA to 4.89% in the period ending May 31, 2021, which was significantly lower than the previous peaks. However, there was a significant spike to 28.94% in the period ending Nov 30, 2021, which may indicate improved asset utilization and profitability.
Overall, the operating ROA for AAR Corp has shown variability over the historical periods, with some periods indicating strong operational efficiency and profitability, while others showing lower returns. It is essential for the company to analyze the factors contributing to these fluctuations to maintain and enhance its operational performance.
Peer comparison
May 31, 2024