Cardinal Health Inc (CAH)
Operating return on assets (Operating ROA)
| Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | Jun 30, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 1,243,000 | 752,000 | -596,000 | 472,000 | -4,098,000 |
| Total assets | US$ in thousands | 45,121,000 | 43,349,000 | 43,878,000 | 44,453,000 | 40,766,000 |
| Operating ROA | 2.75% | 1.73% | -1.36% | 1.06% | -10.05% |
June 30, 2024 calculation
Operating ROA = Operating income ÷ Total assets
= $1,243,000K ÷ $45,121,000K
= 2.75%
Operating return on assets (ROA) is a key financial ratio that measures a company's profitability in relation to its total assets. Cardinal Health Inc's operating ROA has varied significantly over the past five years.
In June 2024, Cardinal Health Inc reported an operating ROA of 2.75%, indicating that the company generated $0.0275 in operating income for every dollar of assets. This represents an improvement from the previous year when the operating ROA was 1.73%.
Looking back further, in June 2022, Cardinal Health Inc had a negative operating ROA of -1.36%, which suggests that the company's operating income was insufficient to cover its assets. However, the company managed to turn this around in the following years.
In June 2021, Cardinal Health Inc's operating ROA improved to 1.06%, indicating a positive trend in profitability. The most significant improvement was seen in June 2020, where the operating ROA was -10.05%, reflecting a substantial loss relative to assets.
Overall, the fluctuation in Cardinal Health Inc's operating ROA highlights the company's performance in generating operating income from its assets over the years. Investors and analysts will closely monitor future trends in the operating ROA to assess the company's efficiency and profitability.
Peer comparison
Jun 30, 2024