Churchill Downs Incorporated (CHDN)
Return on assets (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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 417,300 | 360,700 | 356,700 | 553,000 | 439,400 | 481,700 | 486,100 | 255,100 | 249,100 | 222,900 | 204,700 | -22,400 | -81,900 | -95,000 | -123,400 | 102,500 | 137,500 | 144,900 | 186,400 | 182,400 |
| Total assets | US$ in thousands | 6,955,500 | 6,750,500 | 6,578,600 | 6,273,500 | 6,206,800 | 4,674,100 | 4,619,600 | 3,036,900 | 2,981,600 | 2,973,500 | 2,970,600 | 2,787,100 | 2,981,600 | 3,263,000 | 3,216,000 | 3,203,800 | 2,551,000 | 2,562,500 | 2,588,500 | 2,478,500 |
| ROA | 6.00% | 5.34% | 5.42% | 8.81% | 7.08% | 10.31% | 10.52% | 8.40% | 8.35% | 7.50% | 6.89% | -0.80% | -2.75% | -2.91% | -3.84% | 3.20% | 5.39% | 5.65% | 7.20% | 7.36% |
December 31, 2023 calculation
ROA = Net income (ttm) ÷ Total assets
= $417,300K ÷ $6,955,500K
= 6.00%
To analyze the return on assets (ROA) of Churchill Downs, Inc. over the past eight quarters, we observe fluctuations in the ratio.
The ROA ranged from a low of 5.34% in Q3 2023 to a high of 10.52% in Q2 2022. This indicates variability in the company's ability to generate profits relative to its total assets during these periods.
Overall, the ROA averaged 7.40% across the eight quarters, suggesting that, on average, Churchill Downs, Inc. generated a return of 7.40 cents for every dollar of assets held.
The significant drop in ROA from Q1 2023 (8.81%) to Q2 2023 (5.42%) may necessitate further investigation into the company's asset management efficiency or profitability drivers during that period.
In conclusion, the fluctuating ROA of Churchill Downs, Inc. reflects varying levels of efficiency in asset utilization and profitability over the analyzed quarters.