Avnet Inc (AVT)
Operating return on assets (Operating ROA)
| Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 583,315 | 633,408 | 692,155 | 773,086 | 884,630 | 975,686 | 1,087,317 | 1,150,033 | 1,186,801 | 1,187,827 | 1,148,606 | 1,061,305 | 939,011 | 772,324 | 585,600 | 431,149 | 281,408 | 165,327 | -38,117 | -48,863 |
| Total assets | US$ in thousands | 12,118,600 | 11,712,300 | 11,942,900 | 12,597,600 | 12,259,100 | 12,325,200 | 12,997,200 | 12,646,500 | 12,477,200 | 12,109,300 | 11,929,900 | 10,968,400 | 10,388,500 | 9,781,670 | 9,580,870 | 9,211,310 | 8,925,420 | 8,365,920 | 8,264,310 | 8,381,400 |
| Operating ROA | 4.81% | 5.41% | 5.80% | 6.14% | 7.22% | 7.92% | 8.37% | 9.09% | 9.51% | 9.81% | 9.63% | 9.68% | 9.04% | 7.90% | 6.11% | 4.68% | 3.15% | 1.98% | -0.46% | -0.58% |
June 30, 2025 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $583,315K ÷ $12,118,600K
= 4.81%
The operating return on assets (ROA) for Avnet Inc exhibits a notable trend over the specified period, reflecting the company's operational efficiency and profitability relative to its asset base. Starting with negative values during September and December 2020 at -0.58% and -0.46% respectively, the metric indicates initial challenges in generating operating income from its assets amidst the economic environment influenced by the COVID-19 pandemic.
Subsequently, from March 2021 onward, the operating ROA demonstrates a consistent upward trajectory, reaching 1.98% in March 2021 and further improving to 3.15% by June 2021. This positive development continues through 2021 and into 2022, with higher values such as 4.68% in September 2021, 6.11% in December 2021, and peaking at approximately 9.68% in September 2022. The period from late 2021 through 2022 signifies a period of operational recovery and enhanced efficiency, with the company increasingly able to generate operating income relative to its assets.
From late 2022 into 2023, the operating ROA remains relatively stable but exhibits a slight decline, with values of 9.63% in December 2022, 9.81% in March 2023, and gradually decreasing to around 9.09% in September 2023. This indicates that while the company maintained strong operational performance, growth in operating efficiency plateaued during this interval.
Looking further into 2024 and mid-2025, the metric shows a continuing downward trend, with figures declining consistently from 8.37% at the end of 2023 to projections of 7.92%, 7.22%, and eventually reaching 6.14% by September 2024. This persistent decline suggests a reduction in operating profitability relative to assets, potentially due to increased competition, margin pressures, investments, or operational restructuring efforts.
In summary, Avnet Inc’s operating ROA experienced a significant turnaround from negative to positive territory following early 2021, reflecting improved operational performance. However, commencing in mid-2023 through 2025, the trend indicates a gradual decline, signaling potential challenges in sustaining previous levels of operational efficiency. These movements underscore the importance of ongoing strategic adjustments and operational efficiencies to maintain profitability relative to assets.
Peer comparison
Jun 30, 2025