Avery Dennison Corp (AVY)
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 | 666,500 | 659,500 | 696,400 | 775,400 | 839,900 | 900,000 | 877,800 | 849,700 | 870,300 | 910,700 | 890,800 | 791,700 | 684,800 | 1,047,000 | 1,030,900 | 1,084,000 | 638,500 | 625,300 | 604,200 | 601,500 |
| Total assets | US$ in thousands | 8,209,800 | 8,133,100 | 8,266,300 | 8,222,300 | 7,950,500 | 8,042,300 | 8,092,400 | 8,138,800 | 7,971,600 | 7,967,700 | 6,422,500 | 6,273,200 | 6,083,900 | 5,720,800 | 5,651,700 | 6,260,900 | 5,488,800 | 5,338,700 | 5,389,700 | 5,353,700 |
| Operating ROA | 8.12% | 8.11% | 8.42% | 9.43% | 10.56% | 11.19% | 10.85% | 10.44% | 10.92% | 11.43% | 13.87% | 12.62% | 11.26% | 18.30% | 18.24% | 17.31% | 11.63% | 11.71% | 11.21% | 11.24% |
December 31, 2023 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $666,500K ÷ $8,209,800K
= 8.12%
The operating return on assets (ROA) for Avery Dennison Corp has shown some fluctuations over the past few quarters. The trend indicates that the company's ability to generate profits from its operational assets has varied, with some periods exhibiting higher efficiency than others.
From December 2019 to March 2020, the operating ROA remained relatively stable around the 11% mark. However, there was a significant increase in the operating ROA in the second half of 2020, reaching over 18% by September 2020. This spike in profitability could be attributed to improved operational efficiency or increased revenue generation during that period.
Subsequently, the operating ROA experienced a decline in the first half of 2021, dropping to around 11%. However, there was a notable uptrend in the operating ROA in the second quarter of 2021, reaching nearly 14%.
In the most recent data available, the operating ROA for December 2023 stands at 8.12%, showing a slight decline compared to the previous quarters. This decrease could suggest a potential dip in operational efficiency or profitability for the company during this period.
Overall, while the operating ROA for Avery Dennison Corp has shown variability, it is essential to analyze the company's operational performance in conjunction with other financial metrics to gain a comprehensive understanding of its financial health and future prospects.
Peer comparison
Dec 31, 2023