Topbuild Corp (BLD)

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	878,826	877,141	862,523	832,641	797,164	712,491	623,423	544,488	476,421	461,056	428,773	380,941	355,043	328,387	307,309	302,894	289,523	278,263	264,035	231,677
Total assets	US$ in thousands	5,162,850	5,014,090	4,857,950	4,700,910	4,606,830	4,506,120	4,420,980	4,361,560	4,258,530	3,120,690	2,998,720	2,892,100	2,815,280	2,747,800	2,670,580	2,631,840	2,603,960	2,624,120	2,581,120	2,542,830
Operating ROA		17.02%	17.49%	17.75%	17.71%	17.30%	15.81%	14.10%	12.48%	11.19%	14.77%	14.30%	13.17%	12.61%	11.95%	11.51%	11.51%	11.12%	10.60%	10.23%	9.11%

December 31, 2023 calculation

Operating ROA = Operating income (ttm) ÷ Total assets
= $878,826K ÷ $5,162,850K
= 17.02%

TopBuild Corp's operating return on assets (operating ROA) has shown a consistent upward trend over the past eight quarters, reflecting improving operational efficiency and asset utilization. The operating ROA increased from 12.48% in Q1 2022 to 17.02% in Q4 2023, indicating a positive trajectory in generating operating profits relative to its total assets.

The company's ability to maintain a double-digit operating ROA for consecutive quarters demonstrates effective management of operating expenses and capital investments. The steady improvement in operating ROA suggests that TopBuild Corp is utilizing its assets efficiently to generate revenue and profit.

Overall, the increasing trend in operating ROA indicates that TopBuild Corp's management is effectively leveraging its assets to drive operational performance and create value for its shareholders.